Citation:

Nicolas Bayu Kristiawan. "The Influence of CEO Characteristics Towards Earnings Quality In Indonesian Manufacturing Companies" International Research Journal of Economics and Management Studies, Vol. 4, No. 1, pp. 152-158, 2025.

Abstract:

This study aims to examine the influence of CEO characteristics towards earnings quality in Indonesian manufacturing companies. This study uses upper echelon theory as a theoretical basis to formulate hypotheses. The sample of this study consists of 46 Indonesian manufacturing companies in 2013-2015, with a total of 138 observations. The data on each CEO's characteristics, namely, the CEO's financial expertise, CEO's educational background, the female CEO, and CEO's age, were hand-collected from the company’s annual report. The data on earnings quality is calculated based on the Dechow & Dichev model. The data on earnings quality and control variables were obtained from the BVD Osiris Database. The results of the study show that CEO financial expertise has a positive influence towards earnings quality, while other three characteristics namely CEO, business educational background, female CEO, and CEO age, have no effect towards earnings quality.

References:

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Keywords:

CEO Characteristics, Earnings Quality, Indonesian Manufacturing Companies.