The Influence of Good Corporate Governance and Leverage on Earnings Management with Firm Size as a Moderating Variable in Property Companies Listed on the Indonesia Stock Exchange

This study aims to obtain empirical evidence on the influence of good corporate governance mechanisms proxied by managerial ownership, institutional ownership, the composition of the independent board of commissioners, and the influence of leverage on earnings management with company size as a moderating variable. Using a purposive sampling technique, this study uses 20 samples of property companies listed on the Indonesia Stock Exchange (IDX) for 2018-2023. The research data were collected from annual reports for the 2018-2023 period. The data analysis methods used are panel data regression analysis and moderated regression analysis. The results of this study indicate that managerial ownership and leverage have a negative effect on earnings management. Meanwhile, institutional ownership and the composition of the independent board of commissioners have a partially positive impact on earnings management. Other results also show that company size cannot moderate the influence of managerial ownership, the composition of the independent board of commissioners, and leverage on earnings management. However, company size can moderate the impact of institutional ownership on earnings management. Keywords: Good corporate governance, leverage, earnings management, firm size, property companies, Indonesia Stock Exchange