Pengaruh Cash Holding Dan Financial Leverage Terhadap Income Smoothing Dengan Corporate Governance Sebagai Variabel Moderating

Abstract

In a company, financial statements are vital because they have a role as a result of operational activities in acompany in a period. Financial statements also have a function as an illustration of a company regarding thegood or poor capabilities of the company. One of the crucial accounts in assessing the company's performance isprofit. In fact, the work on Income Smoothing causes some speculation, some think that Income Smoothing isdetrimental to users of financial statements because it does not explain the content of reasonable reports on thecompany's financial position. Meanwhile, other parties think that Income Smoothing is reasonable because it doesnot violate accounting standards. The purpose of this observation is to find out whether cash holding and financialleverage are able to affect income smoothing, as well as to find out whether corporate governance variabels areable to moderate cash holding and financial leverage on income smoothing. The population of this study is state-owned companies in 2016-2021 a total of 48 companies with 6 years, selecting samples using the purposivesampling method and obtaining samples with a total of 108. This research found that the cash holding variabel isable to affect income smoothing, financial leverage is unable to affect income smoothing, corporate governanceis able to moderate or reduce the influence between cash holding and income smoothing, corporate governanceis unable to moderate or reduce the influence between financial leverage and income smoothing. The softwareused for data processing is SPSS Statistics 20.