Title: Leverage, Dividends, and Real Earnings Management (Empirical Study of Manufacturing Companies on the Indonesian Stock Exchange)
Author: Idzal Dwi Nantyah
Item Type : Thesis (Thesis)
Affiliations: Master of Management Science Study Program, Faculty of Economics and Business, Universitas Airlangga , Surabaya, Indonesia
Publisher: Universitas Airlangga
Abstract
The aim of this research is to test and analyze the difference between the effect of leverage on real earnings management and the effect of dividends on real earnings management using three measurements, namely abnormal cash flow, abnormal production costs, abnormal discretionary expenses. This research is quantitative research. This research uses research samples from manufacturing companies listed on the Indonesia Stock Exchange (BEI) for the 2013-2017 period using the purposive sampling method. The data analysis technique uses multiple linear regression with the statistical software tool IBM SPSS statistics 21. The results of this study show that leverage has a positive effect on abnormal cash flow, leverage has a negative effect on abnormal production costs, leverage has a negative effect on abnormal discretionary expenses. Dividends have a positive effect on abnormal cash flow, abnormal production costs, abnormal discretionary expenses. Leverage is more appropriate as a control to limit managers from taking earnings management actions compared to dividends.
Keywords: Leverage, Dividends, Abnormal Cash Flow, Abnormal Production Cost, Abnormal Discretionary Expenses, Real Earning Management
