The Financial Transparency and Disclosure in Indonesia

• Main Authors: Lim Mega Okfiyati, 陳碧雲
• Other Authors: Dr. Ching-Chung Lin
• Format: Others
• Language: en_US
• Published: 101
• Online Access: http://ndltd.ncl.edu.tw/handle/v69784

碩士 === 南台科技大學 === 企業管理系 === 100 === This dissertation exploits two reliability issues related to financial transparency and disclosure scores (T&D scores) on Indonesia Stock Exchange. Transparency and disclosure as an essential part of good corporate governance practice has been related to entity performance including profitability and other indicators. Greater transparency and better disclosure keep stakeholders better informed about the way a company is being managed. This study provides the evidence of top 100 listed companies that traded on Indonesia Stock Exchange. The T&D scores will provide an assessment as reference sources for determine the transparency and disclosure through series of binary questions. These scores will be put into the models to evaluate the entity profitability and other determinants. The result of this research is the T&D scores significantly affected by company's leverage and market capitalization. There is no significant effect from operating performance, return on equity (ROE), and company's valuation, price-to-book ratio (PBV). In addition, as the extension of this research, most companies show an improvement of T&D scores after the 2008 financial crisis.