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The income statement, which represents the quality of earnings, is crucial for decision-making due to its key attributes of relevance, reliability, and comparability. This benchmark is crucial for firms to evaluate the caliber of accounting information. Low earnings quality might deceive stakeholders in decision-making as the financial statement information must precisely reflect the true performance of the organization. This study aims to analyze and investigate the impact of leverage, earnings growth, and company size on the quality of earnings while considering earnings target achievement as a moderating factor. The study population comprises all firms publicly listed on the Indonesia Stock Exchange (IDX) between 2017 and 2022. The sample comprises 260 companies monitored over 6 years, resulting in 1,560 companies. The sampling method used is purposive sampling. The data analysis method employed in this study involves multiple regression analysis and Moderated Regression Analysis (MRA) utilizing EVIEWS 13 software. The research findings suggest that leverage has no substantial impact on profit quality. However, company size, earnings growth, and target attainment influence earnings quality. The attainment of earnings targets moderates how leverage and earnings growth influence the quality of earnings. However, the attainment of profit targets does not attenuate the impact of company size on the quality of results in firms listed on the Indonesia Stock Exchange between 2017 and 2022. |
