Construction of Financial Statement Integrity Model in Indonesia

This study investigates financial statement integrity's crucial role in guiding stakeholders' economic decisions, embodying trust, honesty, reliability, and loyalty. Using a saturation sample of 40 banking companies listed on the IDX in 2022, data on independence, organizational commitment, and audit quality are collected through questionnaires. Information on the audit committee and financial statement integrity is obtained from idx.co.id. The partial least square analysis reveals that organizational commitment strengthens the link between the audit committee, independence, and audit quality. Audit quality, as a mediator, amplifies the impact of the audit committee and independence on financial statement integrity. This research contributes by introducing organizational commitment as a moderator and examining the mediating role of audit quality in the theoretical understanding of financial statement integrity. Organizations should prioritize and enhance organizational commitment to influence financial statement integrity. Limitations include the focus on banking companies and the use of a saturation sample, potentially limiting generalizability.