The Effect of Leverage, Liquidity and Firm Size on Firm Value with Earning Management as Mediator and Good Corporate Governance as Moderator of Real Estate, Property and Building Construction in The Indonesia Stock Exchange

Abstract

The purpose of this study is to determine of the effect of leverage, liquidity and firm size on firm value with earning management as intervening variable and good corporate governance as moderating variable in the property, real estate and building construction sectors that are listed in the Indonesia Stock Exchange from 2018 to 2021. The quantitative research method is Causal Explanatory with the unit of analysis as many as 57 property, real estate and building construction companies during research period so that a total of 228 samples were processed using SmartPLS 3.0. The results showed that 6 hypotheses were rejected, meaning that there was non-significant effect partially leverage, liquidity and firm size on firm value. Earning management does not mediate the influence of leverage, liquidity and firm size on firm value. Meanwhile, GCG is proven to moderate the influence of leverage and firm size on firm value, while one hypothesis, namely H8, is rejected. This means that GCG does not moderate the influence of liquidity on firm value. This research only done in the property, real estate and building construction on the Indonesia Stock Exchange from 2018 to 2021.