This study aims to determine and analyze the effect of financial leverage on earnings management and moderation of managerial ownership on the effect of financial leverage on earnings management. The type of data used is panel data which is a combination of time series data, namely 2016 to 2018 and cross section data, which are 19 property and real estate sector companies listed on the Indonesia Stock Exchange (IDX). This study uses multiple linear data regression analysis and moderation regression with the help of software Eviews 9. The results of the study show that: (1) financial leverange has a positive effect on earnings management, and (2) managerial ownership moderates the effect of financial leverage on earnings management.
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To cite this article: Mustamin, I., Usman, A., Amiruddin (2019). The Effect of Financial Leverage on Profit Management with Managerial Ownership as Moderating, International Journal of Academic Research in Accounting, Finance and Management Sciences 9 (2): 83-91.
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