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The Effect of Firm Size, Profitability, Audit Committee, and Other Factors to Firm Value

Author

Listed:
  • Indra Arifin Djashan

    (STIE Trisakti, Jl. Kyai Tapa No. 20, Grogol, 11440, Jakarta, Indonesia Author-2-Name: Yosua Agustinus Author-2-Workplace-Name: STIE Trisakti, Jl. Kyai Tapa No. 20, Grogol, 11440, Jakarta, Indonesia Author-3-Name: Author-3-Workplace-Name: Author-4-Name: Author-4-Workplace-Name: Author-5-Name: Author-5-Workplace-Name: Author-6-Name: Author-6-Workplace-Name: Author-7-Name: Author-7-Workplace-Name: Author-8-Name: Author-8-Workplace-Name:)

Abstract

Objective - This study aims to identify the effect of firm size, profitability, audit committee and other factors on firm value.Methodology/Technique - The population in this study are all non-financial companies on the Indonesian Stock Exchange from 2015 to 2017. The research sample of 403 companies was selected using a purposive sampling method with certain criteria so that a total sample of 180 companies was obtained. Data testing techniques using multiple linear regression with a significance level of 5% alpha.Finding - The results show that firm size has a negative effect on firm value while company growth, profitability, liquidity, tangible fixed assets, audit committee and board size all have a significant effect on firm value. Simultaneously, all independent variables have a positive effect on firm value. The coefficient of determination shows that the effect of the independent variable on the dependent variable is 55.9% and the rest is influenced by other factors.Type of Paper - Empirical.

Suggested Citation

  • Indra Arifin Djashan, 2020. "The Effect of Firm Size, Profitability, Audit Committee, and Other Factors to Firm Value," GATR Journals afr186, Global Academy of Training and Research (GATR) Enterprise.
    • Handle: RePEc:gtr:gatrjs:afr186
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    References listed on IDEAS

    as
    1. Chiarella, Carl & Dieci, Roberto & Gardini, Laura, 2006. "Asset price and wealth dynamics in a financial market with heterogeneous agents," Journal of Economic Dynamics and Control, Elsevier, vol. 30(9-10), pages 1755-1786.
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    Cited by:

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    More about this item

    Keywords

    Audit Committee; Firm Value; Company Growth; Profitability; Liquidity; Board Size.;
    All these keywords.

    JEL classification:

    • M41 - Business Administration and Business Economics; Marketing; Accounting; Personnel Economics - - Accounting - - - Accounting
    • M42 - Business Administration and Business Economics; Marketing; Accounting; Personnel Economics - - Accounting - - - Auditing
    • M49 - Business Administration and Business Economics; Marketing; Accounting; Personnel Economics - - Accounting - - - Other

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