Abstract:
In Indonesia, submission of financial statement to BAPEPAM didn’t yet implement as timely (on time) especially manufacturing companies. Timeliness of financial reporting is one to measure transparency and quality of company. Mechanism of Good Corporate Governance had important effect toward management performance in financial process. Then, mechanism of Good Corporate Governance may affect timeliness of financial report.
This research aims to test whether mechanism of Good Corporate Governance affect to timeliness submission of financial report to BAPEPAM. This study examined factors such as Board Composition, size of Board Directors, Audit Committee, Audit Quality, leverage and profitability as an independent variable, whereas the dependent variable of this study is timeliness submission of financial statement. With purposive sampling as a method of sampling determination has obtained 136 samples manufacturing companies listed in Indonesia Stock Exchange (IDX) period 2007-2010. The research method is quantitative method, which the data analysis technique used was logistic regression.
The results explained that more than 100 samples submit the financial report as timely to BAPEPAM. For mechanism of Good Corporate Governance, such as size of Board Directors, Audit Committee, Audit Quality, and leverage had effect toward timeliness submission of financial statement. While the Board Composition and profitability had no effect toward timeliness submission of financial statement.
