Pengaruh Rgec (Risk Profile, Good Corporate Governance, Earnings Dan Capital) Terhadap Manajemen Laba Pada Bank Yang Terdaftar DI Bursa Efek Indonesia

Abstract

Earnings management leads to changes in financial statements due to management decisions that have the potential to deceive stakeholders. Many cases have occurred regarding earnings management practices in Indonesian banking which can be caused by various factors that require companies to present their financial statements in a good condition, even though the company is in the opposite condition. With the existence of Financial Services Authority Regulation Number 4/POJK.03/2016 concerning the assessment of the health level of commercial banks, it is assumed that earnings management occurs as an effort to meet evaluation standards and get a positive rating, namely a bank in a healthy state. As a result of this, until now the RGEC method (Risk Profile, Good Corporate Governance, Earnings, and Capital) has been used as an indicator of bank health level assessment and to identify bank fraud. This study aims to test and analyze the effect of RGEC on earnings management in banks in Indonesia. The research uses a quantitative approach method with explanatory research type. The data used in this study are secondary data obtained from the company's official website and the Indonesia Stock Exchange (IDX). The object of this research is a bank listed on the Indonesian stock exchange in 2018 - 2022. Sampling was carried out by purposive sampling method while data analysis uses multiple linear regression analysis. The results of the analysis show that risk profile proxied by NPL, Good Corporate Governance (GCG) using self-assessment results, and earnings proxied by ROA have no significant effect on real earnings management with CFO proxy. Meanwhile, capital proxied by CAR has a positive and significant effect on earnings management.

Keyword: Bank, CFO, Earnings management, RGEC