Predicting Financial Fraud through Pressure, Opportunity, Rationalization and Internal Control (Case Study on Food and Beverage Companies Listed on the IDX)

Abstract

The Empirical Study of Food and Beverage Companies Listed on the Indonesia Stock Exchange in 2017-2019 aims to explain and forecast the impact of pressure, opportunity, rationalization, and internal control on financial statements that are false. Because it stresses verifying theories using numerical measurements of research variables and statistical data analysis, this study takes a quantitative approach. The study's population consisted of 18 companies that were listed in the food and beverage sub-sector between 2013 and 2017 and were part of the Indonesia Stock Exchange (IDX). Multiple linear regression analysis, often known as multiple regression, is the analysis model that is used to examine how the independent variables affect the dependent variable. The analysis's findings demonstrate how pressure, opportunity, rationalization, and internal control all significantly impact financial statement fraud at the same time. Internal control has little impact on fake financial statements, while pressure, opportunity, and rationalization all have a considerable impact.