Abstract

This study empirically explores the relationship between three important decisions in financial theory and the business organization goals for 18 companies incorporated in the LQ-45 index listed on the Indonesia Stock Exchange (IDX) over the periods 2010-2017. The purpose of this study is to investigate the effect of investment opportunities, dividend policy and financial decision on firm value and to examine the contribution of corporate governance in moderating the effect between investment opportunities to firm value. This study employs panel data regression through Eviews 9 program specification methodology. The results of the panel data regression analysis indicate a positive and significant relationship between investment opportunities, financial decision, and firm value. The results also indicate that corporate governance has a significant negative moderating effect on investment decision to firm value.

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