Accounting Conservatism and Default Risk on Earnings Response Coefficient with Good Corporate Governance as a Moderation Variable: Konservatisme Akuntansi dan Default Risk terhadap Earnings Response Coefficient dengan Good Corporate Governance sebagai Variabel Moderasi

Abstract

This study aims to determine the effect of Accounting Conservatism and Default Risk on the Earnings Response Coefficient with Good Corporate Governance as a moderating variable. This study uses a purposive sampling method to take samples from non-cyclicals consumer manufacturing companies listed on the Indonesia Stock Exchange during the 2021 – 2023 period. The number of samples used is 60 companies. The analysis method used is multiple linear regression analysis and Moderated Regression Analysis (MRA) using SPSS software version 23. The results of this study indicate that accounting conservatism has a positive effect and default risk has a negative effect on the ERC. Meanwhile, GCG is able to moderate the effect of accounting conservatism and default risk on the ERC. This study is expected to add new insights into the factors that influence ERC and provide additional information in assessing the quality of earnings and company risk before investing