Open AccessTHE EFFECT OF LEVERAGE, FIRM SIZE, AND SALES GROWTH ON INCOME SMOOTHING AND ITS IMPLICATION TO THE FIRM VALUE (STUDY ON STATE-OWNED COMPANIES LISTED IN INDONESIA STOCK EXCHANGE 2016-2019)
Author(s) -
Sri Mulyati,
Bambang Mulyana
Publication year - 2021
Publication title -
international journal of engineering technologies and management research
Language(s) - English
Resource type - Journals
ISSN - 2454-1907
DOI - 10.29121/ijetmr.v8.i9.2021.1015
Subject(s) - stock exchange , leverage (statistics) , debt to equity ratio , smoothing , econometrics , enterprise value , nonprobability sampling , business , panel data , economics , population , monetary economics , accounting , statistics , finance , mathematics , demography , sociology
The purpose of this research was to determine the effect of leverage, firm size and sales growth on income smoothing and its implication to the firm value. The population used on this research was 24 state-owned companies listed on Indonesia Stock Exchange. The samples were determined using purposive sampling method and there were 19 companies which selected as the samples. The analytical method used on this research was statistic descriptive and panel data regression and use Eviews 9 for data processing. The result of this research showed that leverage which measured by debt to equity ratio has negative and insignificant effect on income smoothing while firm size and sales growth have negative and significant effect on income smoothing and income smoothing itself was found to have positive and significant effect on the firm value