The Influence of Audit Opinion, Follow Up Audit Recommendations, and Corruption Perceptions Index Toward Financial Performance of Local Government (Empirical Study of the District/City in Indonesia)

Abstract

The success of regional autonomy can not separated from the performance of local governments in managing the local finance. Measurement of financial performance shows the extent to which progress has been achieved of local governments in carrying out their duties and as a benchmark for increase the government's financial performance in the next period. This research aimed to investigate influence of audit opinion, the follow-up audit recommendations, and the corruption perception index toward financial performance of local governments. The sample were selected by using purposive sampling method and the number of samples were 48 samples. Based on the research and analysis of data using multiple linear regression showed that the audit opinion is positive and significant influence toward the financial performance of local governments, while the follow-up audit recommendations and the corruption perception index has no significant influence toward the financial performance of local governments