IJRR

International Journal of Research and Review

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Research Paper

Year: 2022 | Month: June | Volume: 9 | Issue: 6 | Pages: 464-472

DOI: https://doi.org/10.52403/ijrr.20220649

The Effect of Independent Commissioners, Audit Committee, Audit Quality, and Leverage on Financial Statements Integrity with Firm Size as a Moderating Variable in Banking Companies Listed on the Indonesia Stock Exchange

Dedi Ansyah Putra1, Idhar Yahya1, Khaira Amalia Fachrudin 1

1Department of Accounting, Faculty of Economics and Business at Universitas Sumatera Utara, Indonesia.

Corresponding Author: Dedi Ansyah Putra

ABSTRACT

A financial statement's integrity is the extent to which the financial statements presented show accurate and honest information. The research objective was to analyze the effect of the independent commissioners, audit committee, audit quality, and leverage on financial statement integrity in banking companies listed on the Indonesia Stock Exchange. This study will also examine firm size variables used as moderating variables in the research model. The population in this research are banking companies listed on the Indonesia Stock Exchange period 2015 to 2019. The method used in determining the sample is a purposive sampling method based on specific criteria and selected as many as 31 companies. The total of observations used was 155 observations. The type of data used is secondary data. Data analysis techniques used are Panel data regression analysis with multiple regression test and moderating interaction Test with the help of  Eviews.
The results of this study indicate in alpha five percent (0.5%), audit committee, audit quality, and leverage have a significant positive effect on financial statement integrity.
In contrast, independent commissioners have no significant effect on financial statement integrity. The results of this study also show that firm size can moderate the impact of the audit committee and audit quality on financial statement integrity. However, firm size cannot moderate the effect of independent commissioners and leverage financial statement integrity.

Keywords: Independent Commissioners, Audit Committee, Audit Quality, Leverage, Financial Statement Integrity.

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