Pengaruh Rasio Keuangan Terhadap Fraudulent Financial Reporting: Survei Perusahaan Barang Konsumsi Yang Terdaftar di Bursa Efek Indonesia Tahun 2014-2016

Abstract

The main aim of this study is to analyse the financial ratio (i.e. financial leverage, profitability, asset composition, liquidity and capital turnover ratio) in detecting fraudulent financial reporting (FFR). The logit model was used to identify firms that are related to FFR. The sample firms that engage in fraudulent reporting were obtained from consumer goods companies survey listed on The Indonesian Stock Exchange. The data cover a period of three years from 2014 to 2016. The results suggest that financial leverage proxied by total debt to total equity was not significant while leverage proxied by total debt to total asset was significant. Asset composition and liquidity were not significant to FFR while profitability and capital turnover were significant predictors of FFR.