Manufacturing Companies :The Effect of Liquidity and Corporate Governance on Financial Performance with Firm Size as a Moderating
Article Sidebar
Main Article Content
Abstract
Financial performance is important to see the level of achievement of predetermined targets, as material for evaluation, and policies that must be taken by management. The influence of liquidity and good corporate governance through the mechanism of ownership structure towards the financial performance of Manufacture Company listed on the IDX in 2020-2021 with firm size as moderating variable are the aim of this research. This type of research is quantitative research with secondary data. The purposive sampling method was used for research sampling and obtained 87 companies. Moderate regression analysis (MRA) is used to be analysis technique in this research. This research get results that liquidity has a significant positive effect on financial performance, but institutional and managerial ownership have not effect on financial performance because companies whose ownership structure is dominated by institutional investors actually get a poor response from the market and the company's managerial shareholding has not been able to align the interests of shareholders outside of management, and then firm size can’t moderate the relationship of liquidity, institutional and managerial ownership to financial performance because the size of the company is not so much noticed by interested parties in the company.
Article Details
This work is licensed under a Creative Commons Attribution-NonCommercial 4.0 International License.
Authors who publish with this journal agree to the following terms:
- Authors retain copyright and grant the journal right of first publication with the work simultaneously licensed under a Creative Commons Attribution-NonCommercial 4.0 International License. that allows others to share the work with an acknowledgement of the work's authorship and initial publication in this journal.
- Authors are able to enter into separate, additional contractual arrangements for the non-exclusive distribution of the journal's published version of the work (e.g., post it to an institutional repository or publish it in a book), with an acknowledgement of its initial publication in this journal.
- Authors are permitted and encouraged to post their work online (e.g., in institutional repositories or on their website) prior to and during the submission process, as it can lead to productive exchanges, as well as earlier and greater citation of published work.