Abstract:
The aim of this research is to examine and analyze the factors that affecting the earnings management of the companies specifically in Miscellaneous Industry that listed in Indonesia Stock Exchange with period 2012 – 2014. This research used five independent variables which are managerial ownership, institutional ownership, leverage and sales growth and used one independent variable which is earnings mangement. This research examined and analyzed 48 samples and this research used multiple regression model with 5% significant level. Besides, Researcher uses The Modified Jones Model that proposed by Dechow and Sloan (1996) as method of calculation to identify earnings management.
The result of this research is managerial ownership and insititutional ownership have partially significant impact toward earnings management. Meanwhile, leverage and sales growth have partially significant impact toward earnings management. Simultaneously, managerial ownership, institutional ownership, leverage, and sales growth have significant impact toward earnings mangement.
