Effect of the Independent Board of Commissioners, Audit Committee, Firm Size and Leverage to Earnings Management

Earnings management is the ability to manipulate available choices and make the right choices to achieve the expected level of profit. The purpose of this study was to examine and analyze the influence of independent commissioners, audit committees, company size, and leverage on earnings management in real estate and property sector companies listed on the Indonesia Stock Exchange. This study uses a type of quantitative research by conducting hypothesis testing. The research sample is a real estate and property sector company that was listed on the Indonesia Stock Exchange in 2013-2016 which amounted to 22 companies. The analytical tool used in this study is multiple linear regression analysis. Based on the existing criteria, a sample of 22 companies was analyzed. This study uses multiple linear regression methods. The results of the study show that independent board of commissioners and leverage have a positive and significant effect on earnings management, while the audit committee has no effect on earnings management and firm size has a negative effect on earnings management.