The Effect of Good Corporate Governance and Intellectual Capital on the Quality of Financial Reporting (Case Study of Banking Companies in Indonesia Stock Exchange)

Abstract

This study aims to examine and to assess the Influence of Good Corporate Governance and Intelectual Capital on the Quality of Financial Reporting, a case study at Banks listed on the Indonesian stock exchange. The independent variables researched are the GCG variables consisting of the number of members of the board of directors, independent commissioners and the attendance of committee members who are directly responsible for the company policy and the presentation of financial reporrts. The sample used in this research use purposive sampling method. The data used in the research are secondary data in the form of annual financial statements whereas the method used is multiple linear regression data analysis and also SPSS analysis tool for data processing.The result of the this research concluded that only the number of attendance of the meeting committee member significantly influences the quality of the financial reporting while the variable of the board of director member, the number of independent commissioner and intellectual capital have no significant effect on the the quality of the quality of financial reporting.

Keywords: Good Corporate Governance, Intellectual Capital, and Quality of Financial Reporting.