The effect of risk disclosure on the cost of equity capital and firm value (An empirical study of manufacturing companies listed on the Indonesia Stock Exchange period 2015-2017)

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The Indonesian Accounting Review Vol. 9, No. 2, July - December 2019, pages 133 - 141

The effect of risk disclosure on the cost of equity capital and

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Universitas Diponegoro, Semarang, Central Java, Indonesia

ARTICLE INFO

Article history Received24 June 2019

Revised28 August 2019

Accepted10 September 2019

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Corporate Risk Disclosure, Cost of Equity Capital, Firm Value,

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ABSTRACT

This study examines the effect of corporate risk disclosure on cost of equity

 

in the previous year as control variables. The population consists of all manufacturing companies listed on the Indonesia Stock Exchange for the period 2015 - 2017. The sample was taken using a purposive sampling using multiple regression analysis to test the hypothesis. The results indicate that corporate risk disclosure has a negative effect on the cost of

"  value.

ABSTRAK

Penelitian ini menguji pengaruh pengungkapan risiko perusahaan terhadap biaya modal ekuitas dan nilai perusahaan. Penelitian ini menggunakan rasio nilai pasar ekuitas terhadap nilai buku ekuitas, rasio leverage, indeks harga konsumen, pertumbuhan perusahaan, besaran perusahaan, komite audit independen, laba tahun berjalan periode penelitian dan laba tahun berjalan pada periode sebelumnya sebagai variabel kontrol. Populasi penelitian ini terdiri dari seluruh perusahaan manufaktur di Bursa Efek Indonesia periode 2015-2017. Sampel diambil dengan menggunakan metode purposive sampling, yang terdiri dari 99 perusahaan. Kemudian, data dianalisis menggunakan regresi berganda untuk pengujian hipotesis.

Hasilnya menunjukkan bahwa pengungkapan risiko perusahaan berpengaruh negatif terhadap biaya modal ekuitas tetapi pengungkapan risiko perusahaan berpengaruh positif terhadap nilai perusahaan.

1. INTRODUCTION

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2. THEORETICAL FRAMEWORK AND HYPOTHESIS

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disclosure on the cost of equity capital and

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costs because transaction costs fall so that the

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disclosure and the cost of equity capital show

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level of corporate risk disclosure (CRD) and the cost of equity capital of the company

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4. DATA ANALYSIS AND DISCUSSIONS

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5. CONCLUSION, IMPLICATION, SUGGE- STION, AND LIMITATIONS

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REFERENCES

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The effect of risk disclosure on the cost of equity capital and firm value (An empirical study of manufacturing companies listed on the Indonesia Stock Exchange period 2015-2017)