THE EFFECT OF FIRM SIZE, LEVERAGE AND FAMILY OWNERSHIP ON EARNINGS MANAGEMENT

Abstract

This study aims to examine the effect of firm size, leverage, and family ownership on earnings management. The population includes food and beverage companies listed on the Indonesian Stock Exchange from 2020 to 2022, from which 72 samples of established criteria are selected through purposive sampling. The secondary data involved in this study are obtained from the companies' financial reports and annual reports, and are analyzed by multiple linear regression processed by SPSS to test the respective hypotheses. The results of the study exhibit that the bigger firm size and leverage improve the earnings management while family ownership in companies does not affect earnings management.