Pengaruh Board Monitoring Dengan Moderasi Political Connection Terhadap Audit Fee
Keywords:
board monitoring, political connection, audit fee
Abstract
This study aims to determine the relationship between board monitoring and audit fees with political connections as a moderating variable. This study uses 1,117 observations covering companies listed on the Indonesia Stock Exchange in 2010-2018 except companies in the banking, financial sectors and companies that do not disclose audit fees in their report. This study uses multiple linear regression through STATA 14.0 software to test hypotheses. This study found that the board of commissioners monitoring and the board of directors monitoring have a significant positive relationship on audit fees, the existence of political connections in the company also gives a positive relationship on audit fees and strengthened the relationship between the board of commissioners monitoring and the board of directors monitoring on audit fees. This study is expected to inform stakeholders regarding board monitoring and political connections in audit fees paid by companies.
References
Abbott, L., Parker, S., Peters, G. and Raghunandan, K. (2003), “The association between audit committee characteristics and audit fees”, Auditing: A Journal of Practice & Theory, Vol. 22 No. 2, pp. 17-3
Agoes, Sukrisno (2012), Auditing ; Petunjuk Praktis Pemeriksaan Akuntan oleh Akuntan Publik, Edisi Keempat Buku 1, Jakarta, Salemba Empat.
Anderson, R.C., Mansi, S.A. and Reeb, D.M. (2004), “Board characteristics, accounting report integrity, and the cost of debt”, Journal of Accounting and Economics, Vol. 37 No. 3, pp. 315-342.
Anshori, M., & Iswati, S. (2009). Buku Ajar Metodologi Penelitian Kuantitatif (1st ed.). Surabaya: Pusat Penerbitan dan Percetakan Unair (AUP).
Ariningrum, I., & Diyanty, V. (2017). The Impact of Political Connections and the Effectiveness of Board of Commissioner and Audit Committees on Audit fees The Impact of Political Connections and the Effectiveness of Board of. Australasian Accounting, Business and Finance Journal, 11(4), 53–70. https://doi.org/10.14453/aabfj.v11i4.5
Bank Indonesia. PENERAPAN PROGRAM ANTI PENCUCIAN UANG DAN PENCEGAHAN PENDANAAN TERORISME BAGI BANKPERKREDITAN RAKYAT DAN BANK PEMBIAYAAN RAKAYT SYARIAH (2010). Indonesia: http://www.bi.go.id/id/peraturan/moneter/Pages/pbi_120310.aspx.
Bapepam, 2004. Keputusan Ketua Badan Pengawas Pasar Modal Nomor: Kep29/PM/2004 tanggal 24 September 2004 tentang Pembentukan dan Pedoman Pelaksanaan Kerja Komite Audit. Jakarta.
Boediono, Gideon SB. (2005), “Kualitas laba: Studi pengaruh mekanisme corporate governance dan dampak manajemen laba dengan menggunakan analisis jalur” Simposium Nasional Akuntansi VII, Solo.
Boo, Elfred and Divesh Sharma (2008), “Effect of regulatory oversight on the association between internal governance characteristics and audit fees” Journal of Accounting and Finance, No. 48, hal. 51 -71.
Boubakri, N., Guedhami, O., Mishra, D., & Saffar, W. (2012). Political connections and the cost of equity capital. Journal of Corporate Finance, 18(3), 541–559. https://doi.org/10.1016/j.jcorpfin.2012.02.005
Carcello, J.V. and Neal, T.L. (2000), “Audit committee composition and auditor reporting”, The Accounting Review, Vol. 75 No. 4, pp. 453-467.
Chen, K. and Zhou, J. (2007), “Audit committee, board characteristics, and auditor switch decision by Andersen’s clients”, Contemporary Accounting Research, Vol. 24 No. 4, pp. 1085-1117.
Faccio, M. (2006). Politically Connected Firms. The American Economic Review, 96(1), 369–386. Retrieved from www.jstor.org/stable/30034371
Gati, Kharisma (2015), “Pengaruh komite audit dan tipe kepemilikan perusahaan pada audit fees” Skripsi Akuntansi, Universitas Diponegoro.
Gomez E.T. & Jomo K.S. 1997. Malaysia’s Political Economy: Political, Patronage and Profits. Cambridge: Cambridge University Press.
Gul F.A. 2006. Auditors’ response to political connections and cronyism in Malaysia. Journal of Accounting Research 44(5): 931–963.
Greene, W. H. (2012). Econometric Analysis (7th ed.). Prentice Hall.
Halazun, K. J., Najjar, M., Abdelmessih, R. M., Samstein, B., Griesemer, A. D., Guarrera, J. V., & Brown, R. S. (2017). Recurrence after liver transplantation for hepatocellular carcinoma. Annals of surgery, 265(3), 557-564.
Hedberg, E. C., & Ayers, S. (2015). The power of a paired t-test with a covariate. Social Science Research, 50, 277–291. https://doi.org/10.1016/j.ssresearch.2014.12.004
Hines, C.S., Masli, A., Mauldin, E.G. and Peters, G.F. (2015), “Board risk committees and audit pricing”, Auditing: A Journal of Practice & Theory, Vol. 34 No. 4, pp. 59-84.
Immanuael, Raymond dan Yuyetta, Etna N.A (2014), “Analisis faktor – faktor yang berhubungan penetapan audit fees”, Diponegoro Journal of Accounting, Vol. 2 No. 3, hal. 1-12.
Indrayanti, N. P. A. D., & Wirakusuma, M. G. (2017). Pengaruh Manajemen Laba Pada Return Saham Dengan Kualitas Audit dan Corporate Governance Sebagai Variabel Pemoderasi. E-Jurnal Akuntansi Universitas Udayana, 20(3), 1762–1790.
Irwin, D. A., & Kroszner, R. S. (1996, December). Log-rolling and economic interests in the passage of the Smoot-Hawley Tariff. In Carnegie-Rochester Conference Series on Public Policy (Vol. 45, pp. 173-200). North-Holland.
Junaidi dan Jogiyanto Hartono. 2010. “Faktor Nonkeuangan pada Opini
Going Concern”. Simposium Nasional Akuntansi XIII, Purwokerto.
Jogiyanto.2000. Teori Portofolio dan Analisis Investasi.Edisi 2.BPFE-Yogyakarta.Yogyakarta.
Jizi, M., & Nehme, R. (2018). Board monitoring and audit fees: the moderating role of CEO/chair dual roles. Managerial Auditing Journal, 33(2), 217-243.
Karim, K., Robin, A. and Suh, S. (2015), “Board structure and audit committee monitoring effects of audit committee monitoring incentives and board entrenchment on audit fees”, Journal of Accounting, Auditing& Finance, Vol. 31 No. 2, pp. 248-276.
Keuangan, Pernyataaan Standar Akuntansi. "PSAK 1: Penyajian Laporan Keuangan." Jakarta: IAI (2009).
Lind, D., Marchal, W., & Wathen, S. (2014). Teknik-Teknik Statistika dalam Bisnis ddan Ekonomi (15 buku 2). Salemba Empat
Long, T., Dulewicz, V. and Gay, K. (2005), “The role of the non-executive director: findings of an empirical investigation into the differences between listed and unlisted UK boards”, Corporate Governance: An International Review, Vol. 13 No. 5, pp. 667-679.
Morris, R. D. (1987). Signalling, Agency Theory and Accounting Policy Choice. Accounting and Business Research, 18(69), 47–56. https://doi.org/10.1080/00014788.1987.9729347
Muttakin, M. B., Monem, R. M., Khan, A., & Subramaniam, N. (2015). Family firms , firm performance and political connections : Evidence from Bangladesh. Journal of Contemporary Accounting & Economics. https://doi.org/10.1016/j.jcae.2015.09.001
Okhmatovskiy, I. (2010). Performance implications of ties to the government and SOEs: A political embeddedness perspective. Journal of management studies, 47(6), 1020-1047.
Otoritas Jasa Keuangan. (2014). Peraturan Otoritas Jasa Keuangan Nomor 33/PJOK.04/2014 Tentang Direksi dan Dewan Komisaris Emiten atau Perusahaan Publik. Jakarta
Pemerintah Indonesia. (2007). Undang - Undang No. 40 Tahun 2007 Tentang Perseroan Terbatas. Sekretariat Negara. Jakarta.
Ponnu, C. H., & Karthigeyan, R. M. (2010). Board independence and corporate performance: Evidence from Malaysia. African Journal of Business Management, 4(6), 858–868.
Pratt, J., & Stice, J. D. (1994). The Effects of Client Characteristics on Auditor Litigation Risk Judgments, Required Audit Evidence, and Recommended Audit Fees. The Accounting Review, 69(4), 639–656. https://doi.org/10.2307/248435
Rezaee, Z. (2007). Corporate governance post-Sarbanes-Oxley: Regulations, requirements, and integrated processes. John Wiley & Sons.
Salehi, Karam. A, dkk (2016). The Impact of Institutional Ownership on The Relationship between Tax and Capital Structure. Journal of Advances in Mathematical Finance & Applications, 1(2) : 57-67.
Simunic, D. A. (1980). The Pricing of Audit Services : Theory and Evidence. Journal of Accounting Research, 18(1), 161–190.
Simunic, D. (1984), “Auditing, consulting and auditor independence”, Journal of Accounting Research, Vol. 22, hal. 679-702.
Spence, M. (1973). Job Market Signaling. The Quarterly Journal of Economics, 87(3), 355–374. https://doi.org/10.2307/1882010
Stanley, J. D. (2011). Is the audit fee disclosure a leading indicator of Clients’ Business Risk? Auditing: A Journal of Practice & Theory, 30(3), 157–179. https://doi.org/10.2308/ajpt-10049
Sukmono, S. (2015). Effect Of The Board Of Commissioners Of Its Value Through Quality Of Financial Reporting. International Journal of Scientific & Technology Research, 4(4), 197–205
Suryanto, Rudy, Audit Berbasis Resiko - Sesuai Dengan International Standards of Auditing, http://bit.ly/2aBaELa/, Diakses tanggal 30 Juli 2016 pk 12.00 WIB.
Vasanth, K., Manjunath, T. G., & Raj, S. N. (2015). A Decision Based Unsymmetrical Trimmed Modified Winsorized Mean Filter for the Removal of High Density Salt and Pepper Noise in Images and Videos. Procedia Computer Science, 54, 595–604. https://doi.org/10.1016/j.procs.2015.06.069
Wahab, A, et al. (2011). Audit Fees in Malaysia: Does Corporate Governance Matter? Asian Academy of Management of Accounting and Finance, Vol.7 No.1 pp 1-27.
Wahab, E. A. A., Zain, M. M., & James, K. (2011). Political connections , corporate governance and audit fees in Malaysia. Managerial Auditing Journal, 26(5), 393–418. https://doi.org/10.1108/02686901111129562
Wulandari, L. (2018). PENGARUH POLITICAL CONNECTION PADA DEWAN KOMISARIS DAN DEWAN DIREKSI TERHADAP KINERJA PERUSAHAAN SEKTOR PERTAMBANGAN YANG TERDAFTAR DI BURSA EFEK INDONESIA (BEI) PERIODE TAHUN 2010-2014. CALYPTRA, 7(1), 1196-1296.
You, J., & Du, G. (2012). Are Political Connections a Blessing or a Curse? Evidence from CEO Turnover in China. Corporate Governance: An International Review, 20(2), 179–194. https://doi.org/10.1111/j.1467-8683.2011.00902.x
Zhou, H., Deng, Z., Xia, Y., & Fu, M. (2016). Neurocomputing A new sampling method in particle filter based on Pearson correlation coefficient. Neurocomputing, 216, 208–215. https://doi.org/10.1016/j.neucom.2016.07.036
Agoes, Sukrisno (2012), Auditing ; Petunjuk Praktis Pemeriksaan Akuntan oleh Akuntan Publik, Edisi Keempat Buku 1, Jakarta, Salemba Empat.
Anderson, R.C., Mansi, S.A. and Reeb, D.M. (2004), “Board characteristics, accounting report integrity, and the cost of debt”, Journal of Accounting and Economics, Vol. 37 No. 3, pp. 315-342.
Anshori, M., & Iswati, S. (2009). Buku Ajar Metodologi Penelitian Kuantitatif (1st ed.). Surabaya: Pusat Penerbitan dan Percetakan Unair (AUP).
Ariningrum, I., & Diyanty, V. (2017). The Impact of Political Connections and the Effectiveness of Board of Commissioner and Audit Committees on Audit fees The Impact of Political Connections and the Effectiveness of Board of. Australasian Accounting, Business and Finance Journal, 11(4), 53–70. https://doi.org/10.14453/aabfj.v11i4.5
Bank Indonesia. PENERAPAN PROGRAM ANTI PENCUCIAN UANG DAN PENCEGAHAN PENDANAAN TERORISME BAGI BANKPERKREDITAN RAKYAT DAN BANK PEMBIAYAAN RAKAYT SYARIAH (2010). Indonesia: http://www.bi.go.id/id/peraturan/moneter/Pages/pbi_120310.aspx.
Bapepam, 2004. Keputusan Ketua Badan Pengawas Pasar Modal Nomor: Kep29/PM/2004 tanggal 24 September 2004 tentang Pembentukan dan Pedoman Pelaksanaan Kerja Komite Audit. Jakarta.
Boediono, Gideon SB. (2005), “Kualitas laba: Studi pengaruh mekanisme corporate governance dan dampak manajemen laba dengan menggunakan analisis jalur” Simposium Nasional Akuntansi VII, Solo.
Boo, Elfred and Divesh Sharma (2008), “Effect of regulatory oversight on the association between internal governance characteristics and audit fees” Journal of Accounting and Finance, No. 48, hal. 51 -71.
Boubakri, N., Guedhami, O., Mishra, D., & Saffar, W. (2012). Political connections and the cost of equity capital. Journal of Corporate Finance, 18(3), 541–559. https://doi.org/10.1016/j.jcorpfin.2012.02.005
Carcello, J.V. and Neal, T.L. (2000), “Audit committee composition and auditor reporting”, The Accounting Review, Vol. 75 No. 4, pp. 453-467.
Chen, K. and Zhou, J. (2007), “Audit committee, board characteristics, and auditor switch decision by Andersen’s clients”, Contemporary Accounting Research, Vol. 24 No. 4, pp. 1085-1117.
Faccio, M. (2006). Politically Connected Firms. The American Economic Review, 96(1), 369–386. Retrieved from www.jstor.org/stable/30034371
Gati, Kharisma (2015), “Pengaruh komite audit dan tipe kepemilikan perusahaan pada audit fees” Skripsi Akuntansi, Universitas Diponegoro.
Gomez E.T. & Jomo K.S. 1997. Malaysia’s Political Economy: Political, Patronage and Profits. Cambridge: Cambridge University Press.
Gul F.A. 2006. Auditors’ response to political connections and cronyism in Malaysia. Journal of Accounting Research 44(5): 931–963.
Greene, W. H. (2012). Econometric Analysis (7th ed.). Prentice Hall.
Halazun, K. J., Najjar, M., Abdelmessih, R. M., Samstein, B., Griesemer, A. D., Guarrera, J. V., & Brown, R. S. (2017). Recurrence after liver transplantation for hepatocellular carcinoma. Annals of surgery, 265(3), 557-564.
Hedberg, E. C., & Ayers, S. (2015). The power of a paired t-test with a covariate. Social Science Research, 50, 277–291. https://doi.org/10.1016/j.ssresearch.2014.12.004
Hines, C.S., Masli, A., Mauldin, E.G. and Peters, G.F. (2015), “Board risk committees and audit pricing”, Auditing: A Journal of Practice & Theory, Vol. 34 No. 4, pp. 59-84.
Immanuael, Raymond dan Yuyetta, Etna N.A (2014), “Analisis faktor – faktor yang berhubungan penetapan audit fees”, Diponegoro Journal of Accounting, Vol. 2 No. 3, hal. 1-12.
Indrayanti, N. P. A. D., & Wirakusuma, M. G. (2017). Pengaruh Manajemen Laba Pada Return Saham Dengan Kualitas Audit dan Corporate Governance Sebagai Variabel Pemoderasi. E-Jurnal Akuntansi Universitas Udayana, 20(3), 1762–1790.
Irwin, D. A., & Kroszner, R. S. (1996, December). Log-rolling and economic interests in the passage of the Smoot-Hawley Tariff. In Carnegie-Rochester Conference Series on Public Policy (Vol. 45, pp. 173-200). North-Holland.
Junaidi dan Jogiyanto Hartono. 2010. “Faktor Nonkeuangan pada Opini
Going Concern”. Simposium Nasional Akuntansi XIII, Purwokerto.
Jogiyanto.2000. Teori Portofolio dan Analisis Investasi.Edisi 2.BPFE-Yogyakarta.Yogyakarta.
Jizi, M., & Nehme, R. (2018). Board monitoring and audit fees: the moderating role of CEO/chair dual roles. Managerial Auditing Journal, 33(2), 217-243.
Karim, K., Robin, A. and Suh, S. (2015), “Board structure and audit committee monitoring effects of audit committee monitoring incentives and board entrenchment on audit fees”, Journal of Accounting, Auditing& Finance, Vol. 31 No. 2, pp. 248-276.
Keuangan, Pernyataaan Standar Akuntansi. "PSAK 1: Penyajian Laporan Keuangan." Jakarta: IAI (2009).
Lind, D., Marchal, W., & Wathen, S. (2014). Teknik-Teknik Statistika dalam Bisnis ddan Ekonomi (15 buku 2). Salemba Empat
Long, T., Dulewicz, V. and Gay, K. (2005), “The role of the non-executive director: findings of an empirical investigation into the differences between listed and unlisted UK boards”, Corporate Governance: An International Review, Vol. 13 No. 5, pp. 667-679.
Morris, R. D. (1987). Signalling, Agency Theory and Accounting Policy Choice. Accounting and Business Research, 18(69), 47–56. https://doi.org/10.1080/00014788.1987.9729347
Muttakin, M. B., Monem, R. M., Khan, A., & Subramaniam, N. (2015). Family firms , firm performance and political connections : Evidence from Bangladesh. Journal of Contemporary Accounting & Economics. https://doi.org/10.1016/j.jcae.2015.09.001
Okhmatovskiy, I. (2010). Performance implications of ties to the government and SOEs: A political embeddedness perspective. Journal of management studies, 47(6), 1020-1047.
Otoritas Jasa Keuangan. (2014). Peraturan Otoritas Jasa Keuangan Nomor 33/PJOK.04/2014 Tentang Direksi dan Dewan Komisaris Emiten atau Perusahaan Publik. Jakarta
Pemerintah Indonesia. (2007). Undang - Undang No. 40 Tahun 2007 Tentang Perseroan Terbatas. Sekretariat Negara. Jakarta.
Ponnu, C. H., & Karthigeyan, R. M. (2010). Board independence and corporate performance: Evidence from Malaysia. African Journal of Business Management, 4(6), 858–868.
Pratt, J., & Stice, J. D. (1994). The Effects of Client Characteristics on Auditor Litigation Risk Judgments, Required Audit Evidence, and Recommended Audit Fees. The Accounting Review, 69(4), 639–656. https://doi.org/10.2307/248435
Rezaee, Z. (2007). Corporate governance post-Sarbanes-Oxley: Regulations, requirements, and integrated processes. John Wiley & Sons.
Salehi, Karam. A, dkk (2016). The Impact of Institutional Ownership on The Relationship between Tax and Capital Structure. Journal of Advances in Mathematical Finance & Applications, 1(2) : 57-67.
Simunic, D. A. (1980). The Pricing of Audit Services : Theory and Evidence. Journal of Accounting Research, 18(1), 161–190.
Simunic, D. (1984), “Auditing, consulting and auditor independence”, Journal of Accounting Research, Vol. 22, hal. 679-702.
Spence, M. (1973). Job Market Signaling. The Quarterly Journal of Economics, 87(3), 355–374. https://doi.org/10.2307/1882010
Stanley, J. D. (2011). Is the audit fee disclosure a leading indicator of Clients’ Business Risk? Auditing: A Journal of Practice & Theory, 30(3), 157–179. https://doi.org/10.2308/ajpt-10049
Sukmono, S. (2015). Effect Of The Board Of Commissioners Of Its Value Through Quality Of Financial Reporting. International Journal of Scientific & Technology Research, 4(4), 197–205
Suryanto, Rudy, Audit Berbasis Resiko - Sesuai Dengan International Standards of Auditing, http://bit.ly/2aBaELa/, Diakses tanggal 30 Juli 2016 pk 12.00 WIB.
Vasanth, K., Manjunath, T. G., & Raj, S. N. (2015). A Decision Based Unsymmetrical Trimmed Modified Winsorized Mean Filter for the Removal of High Density Salt and Pepper Noise in Images and Videos. Procedia Computer Science, 54, 595–604. https://doi.org/10.1016/j.procs.2015.06.069
Wahab, A, et al. (2011). Audit Fees in Malaysia: Does Corporate Governance Matter? Asian Academy of Management of Accounting and Finance, Vol.7 No.1 pp 1-27.
Wahab, E. A. A., Zain, M. M., & James, K. (2011). Political connections , corporate governance and audit fees in Malaysia. Managerial Auditing Journal, 26(5), 393–418. https://doi.org/10.1108/02686901111129562
Wulandari, L. (2018). PENGARUH POLITICAL CONNECTION PADA DEWAN KOMISARIS DAN DEWAN DIREKSI TERHADAP KINERJA PERUSAHAAN SEKTOR PERTAMBANGAN YANG TERDAFTAR DI BURSA EFEK INDONESIA (BEI) PERIODE TAHUN 2010-2014. CALYPTRA, 7(1), 1196-1296.
You, J., & Du, G. (2012). Are Political Connections a Blessing or a Curse? Evidence from CEO Turnover in China. Corporate Governance: An International Review, 20(2), 179–194. https://doi.org/10.1111/j.1467-8683.2011.00902.x
Zhou, H., Deng, Z., Xia, Y., & Fu, M. (2016). Neurocomputing A new sampling method in particle filter based on Pearson correlation coefficient. Neurocomputing, 216, 208–215. https://doi.org/10.1016/j.neucom.2016.07.036
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2021-06-21
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