The results of our study state that profitability influences income smoothing. In addition managerial ownership is able to moderate profitability and leverage, while the audit committee is only able to moderate profitability on income smoothing. | How corporate governance able to moderate income smoothing in mining sector International Journal of Management IJM Volume 11 Issue 5 May 2020 pp. 486-496 Article ID IJM_11_05_046 Available online at http ijm JType IJM amp VType 11 amp IType 5 Journal Impact Factor 2020 Calculated by GISI ISSN Print 0976-6502 and ISSN Online 0976-6510 DOI IAEME Publication Scopus Indexed HOW CORPORATE GOVERNANCE ABLE TO MODERATE INCOME SMOOTHING IN MINING SECTOR Bambang Leo Handoko Daniel Yosia Arbi Accounting Department Faculty of Economics and Communication Bina Nusantara University Jakarta Indonesia 11480 ABSTRACT Income smoothing has become a phenomenon. It when companies report large profits people become asked whether this is really real profit or profit that is intentionally made for a particular purpose. Departing from this we made a study of income smoothing in the mining sector. Mining sector is one sector that is classified as profitable for people this sector can be called an opportunist and opportunist sector often associated with earnings management and income smoothing. Our research is quantitative research. We use secondary data financial statements of mining companies for the past five years. We use path analysis for the analysis tools in this study. We use three moderator variables namely institutional ownership managerial ownership and audit committee. We examine the three moderator variables whether they can moderate profitability and leverage on income smoothing. The results of our study state that profitability influences income smoothing. In addition managerial ownership is able to moderate profitability and leverage while the audit committee is only able to moderate profitability on income smoothing. Key words corporate governance income smoothing mining company Cite this Article Bambang Leo Handoko and Daniel Yosia Arbi How Corporate Governance Able to Moderate Income Smoothing .
