ABSTRACT
This study aims to analyze the practice of earnings management in a
company that will do an IPO (Initial Public Offering) bonds of public companies
in Indonesia which is listed on the Indonesia Stock Exchange (IDX). Earnings
management that wants to be analyzed in this study is the level of discretionary
accruals, both derived from elements of income or expense on corporate bond
IPO. Moreover want to see if the company is doing more aggressive bond IPO in
doing earnings management when compared with did not issued bond. The
sample used consists of 13 of all companies undertaking an IPO bonds are listed
on the Stock Exchange in 2006-2011, and for each company also has a
comparison companies. Method of data analysis used in this study is independent
test-sample T Test. The findings in this study indicate there is a difference between
discretionary accruals of revenue elements and cost elements of the corporate
bond IPO. As well as the company's proven that an IPO bonds more aggressive in
earnings management when compared with did not issued bond.
Keywords: Initial public offering of bonds, earnings management, discretionary
