Abstract
This study aims to determine the effect of net profit margin and free cash flow on earning management. The population in this study are consumer goods industrial sector companies listed on the Indonesia Stock Exchange for the period 2016 to 2019. The number of samples in this study was 64 respondents, using the purposive sample method. The research approach used is quantitative. The analytical method used is multiple linear regression. The results showed that simultaneously, net profit margin and free cash flow had a significant effect on earnings management in the consumer goods industry sector. However, partially, only free cash flow has a significant effect on earnings management, while net profit margin does not significantly affect earnings management in the consumer goods industry sector.
Talk to us
Join us for a 30 min session where you can share your feedback and ask us any queries you have
Schedule a callMore From: SCIENTIFIC JOURNAL OF REFLECTION : Economic, Accounting, Management and Business
Disclaimer: All third-party content on this website/platform is and will remain the property of their respective owners and is provided on "as is" basis without any warranties, express or implied. Use of third-party content does not indicate any affiliation, sponsorship with or endorsement by them. Any references to third-party content is to identify the corresponding services and shall be considered fair use under The CopyrightLaw.
