The Effect of Good Corporate Governance, Investment Opportunity Set, and Free Cash Flow on the Earnings Quality and the Firm Value (Property Sector and Real Estate) During the Covid-19 Pandemic

DOI

10.2991/978-2-494069-83-1_116How to use a DOI?

Keywords

Good Corporate; Governance; Investment Opportunity Set; Free Cash Flow; Earnings Quality; Firm value

Abstract

This study aims to determine the effect of GCG, IOS and FCF on the quality of company profit and value during the Covid-19 pandemic. With the increasing number of investors, the investment and the growth in real estate sector industry properties will increase. This research used basic research with a quantitative approach. The population in this study was real estate and property companies listed on the Indonesia Stock Exchange (IDX) in 2020–2021 and it used the purposive sampling method. The data type used in this research was secondary data. The data analysis techniques were statistical test equipment with the analysis stages in this study was started from descriptive statistical analysis, classical assumption test, and hypothesis testing. The research hypothesis test used multiple linear regressions’ test without moderation and multiple regressions test that included moderating variables by multiple regression analysis techniques. The results showed that the variable Good corporate governance, which are independent commissioner’s board and managerial ownership had a significant negative effect on earnings quality however free cash flow had a significant positive effect on earnings quality. While the variables of audit committee, institutional ownership, and investment opportunity set and leverage didn’t have significant effect on earnings quality. The SIZE’s variable strengthened the relationship between earnings quality and firm value.

Copyright

© 2022 The Author(s)

Open Access

Open Access This chapter is licensed under the terms of the Creative Commons Attribution-NonCommercial 4.0 International License (http://creativecommons.org/licenses/by-nc/4.0/), which permits any noncommercial use, sharing, adaptation, distribution and reproduction in any medium or format, as long as you give appropriate credit to the original author(s) and the source, provide a link to the Creative Commons license and indicate if changes were made.

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TY  - CONF
AU  - Wilsna Rupilu
AU  - Eugenia Hendrini P. Tanan
PY  - 2022
DA  - 2022/12/30
TI  - The Effect of Good Corporate Governance, Investment Opportunity Set, and Free Cash Flow on the Earnings Quality and the Firm Value (Property Sector and Real Estate) During the Covid-19 Pandemic
BT  - Proceedings of the International Conference on Applied Science and Technology on Social Science 2022 (iCAST-SS 2022)
PB  - Atlantis Press
SP  - 665
EP  - 673
SN  - 2352-5398
UR  - https://doi.org/10.2991/978-2-494069-83-1_116
DO  - 10.2991/978-2-494069-83-1_116
ID  - Rupilu2022
ER  -