THE EFFECT OF COMPANY’S FINANCIAL CONDITION, SOLVENCY, AND AUDITOR’S REPUTATION AGAINST THE GOING CONCERN AUDIT OPINION (STUDIES IN MANUFACTURING COMPANIES LISTED ON THE INDONESIA STOCK EXCHANGE FOR PERIOD 2010-2011)

Abstract

The purpose of this research is to find the association between the company’s financial condition measured by Altman’s Bankruptcy Prediction Model, Solvency Ratios, and Auditor’s Reputation to the provision of Going Concern Audit Opinion. This research uses 40 companies that fulfill the sample criteria. The result shows that there is significance association of company’s financial condition measured by Altman’s Bankruptcy Prediction Model against the provision of going concern audit opinion. It implies that the lower the value, the greater the possibility of the company receives the going concern opinion.