Pengaruh Mekanisme Komite Audit terhadap Income Smoothing Dimoderasi oleh Prudence pada Perusahaan LQ45 yang Terdaftar di BEI

Abstract

This study aims to obtain empirical evidence regarding the relationship between the audit committee mechanism and income smoothing. The audit committee mechanism in this research is examined through its size, independence, expertise, and the number of meetings held during a financial reporting period. Due to inconsistencies in previous research findings, this study incorporates prudence as a moderating variable. The research sample was selected using a purposive sampling method, focusing on LQ45 companies for the period of August 2023 with an observation period from 2018 to 2021. The inclusion of a moderating variable required the use of Moderated Regression Analysis. Before regression, the model was tested and confirmed to meet all classical assumption tests. The empirical findings indicate that only audit committee size has a significant negative effect on income smoothing, whereas independence, expertise, and the number of meetings do not influence income smoothing. Prudence strengthens the relationship between audit committee size and independence on income smoothing but does not moderate the relationship between expertise and the number of meetings with income smoothing.