Proceedings of the 15th International Symposium on Management (INSYMA 2018)

The Influence of Good Corporate Governance (GCG) on Financial Distress

Authors
Werner Ria Murhadi, Felicia Tanugara, Bertha Silvia Sutejo
Corresponding Author
Werner Ria Murhadi
Available Online March 2018.
DOI
https://doi.org/10.2991/insyma-18.2018.19How to use a DOI?
Keywords
Financial Distress, Good Corporate Governance, Audit Opinion, Ownership Type
Abstract
This study aims to analyze the influence of good corporate governance (GCG) on financial distress. This study also aims to create a bankruptcy prediction model by using historical data from non-financial sector companies listed on Indonesia Stock Exchange (IDX) over the period of 2011 - 2015. This study used quantitative approach by using logistic regression. The final sample used in this study were 337 companies with 1,685 years observation. The study findings suggest that the proportion of independent outside directors, audit opinion, size, and ownership type from the category of good corporate governance are incorporated into the model.All the variables are significant. The results suggest that the accuracy of this bankruptcy prediction model was 99.7%.
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This is an open access article distributed under the CC BY-NC license.

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Volume Title
Proceedings of the 15th International Symposium on Management (INSYMA 2018)
Series
Advances in Social Science, Education and Humanities Research
Publication Date
March 2018
ISBN
978-94-6252-475-0
ISSN
2352-5398
DOI
https://doi.org/10.2991/insyma-18.2018.19How to use a DOI?
Open Access
This is an open access article distributed under the CC BY-NC license.

Cite this article

TY  - CONF
AU  - Werner Ria Murhadi
AU  - Felicia Tanugara
AU  - Bertha Silvia Sutejo
PY  - 2018/03
DA  - 2018/03
TI  - The Influence of Good Corporate Governance (GCG) on Financial Distress
BT  - Proceedings of the 15th International Symposium on Management (INSYMA 2018)
PB  - Atlantis Press
SP  - 76
EP  - 79
SN  - 2352-5398
UR  - https://doi.org/10.2991/insyma-18.2018.19
DO  - https://doi.org/10.2991/insyma-18.2018.19
ID  - RiaMurhadi2018/03
ER  -