Journal of Accounting Research, Utility Finance and Digital Assets (JARUDA)
Vol. 2 No. 4 (2024): April

THE EFFECT OF FIRM GROWTH, DIVIDEND POLICY, FIRM SIZE, AND LEVERAGE ON PROFIT QUALITY (Study On Transportation Companies Listed On The Indonesia Stock Exchange)

Reza Hendri Yana (Universitas Malikussaleh)
Ghazali Syamni (Universitas Malikussaleh)
Nurlela (Universitas Malikussaleh)
Chairil Akhyar (Universitas Malikussaleh)
Sari Yulis Terfiadi (Universitas Malikussaleh)



Article Info

Publish Date
24 Apr 2024

Abstract

This study aims to determine how the influence of firm growth, dividend policy, firm size, and leverage on profit quality in transportation companies listed on the Indonesia Stock Exchange for the 2018-2022 period. The quality of profit in this study is measured by comparing the value of operating cash flows with net income, then the firms’s growth is measured using the results of the current year's total assets minus the previous year's total assets and divided by the previous year's total assets. Meanwhile, dividend policy is measured by comparing cash dividends to net income, and firm size is measured using the natural logarithm of total equity, and variable leverage is measured by comparing total debt with total company equity. This study uses secondary data obtained from each financial statement of transportation companies listed on the Indonesia Stock Exchange.The sample used in this study is as many as 20 companies obtained using purposive sampling techniques, where the data analysis method used is a multiple linear regression test using the help of eviews software version 10. The research findings indicate that partial company growth has a non-significant positive effect on earnings quality, whereas dividend policy and company size partially have a significant positive effect on earnings quality. Meanwhile, leverage partially has a significant negative effect on earnings quality in transportation companies listed on the Indonesia Stock Exchange for the period 2018-2022.

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Journal Info

Abbrev

go

Publisher

Subject

Economics, Econometrics & Finance

Description

Journal of Accounting Research, Utility Finance and Digital Assets (JARUDA) | ISSN (e): 2962-973X provides a forum for academics and professionals to share the latest developments and advances in knowledge and practice of business management, both theory and methods. It aims to foster the exchange ...