The Audit Committees, Internal Audit and External Audit Quality Effects on Earnings Management: An Analysis of Malaysian Government-Linked Companies

The role of audit governance mechanisms as part the corporate architecture has been promoted to ensure integrity financial reporting process. In order get insights on their effectiveness, this study investigates effects mechanism, specifically committee, internal function and external quality earnings management in Malaysian government-linked companies. Using a cross-sectional variation modified Jones Model (1995) estimate discretionary accruals, examined 38 GLCs from 2009–2018, which consisted 340 firm-year pair observations. Panel data regression analysis was carried out using generalised least square method analyse effect management. findings suggest that lower likelihood is associated with function. Further proxy measures suggests in-house negatively This research would provide for regulators strengthen mitigate Keywords: Earnings management; committee; function; companies; auditor ABSTRAK Peranan mekanisme tadbir urus sebagai sebahagian daripada seni bina korporat digalakkan untuk memastikan integriti proses pelaporan kewangan. Untuk mengetahui keberkesanannya, kajian ini menyiasat kesan khususnya jawatankuasa audit, fungsi dalaman dan luaran terhadap pengurusan perolehan dalam syarikat berkaitan kerajaan Malaysia. Kajian menggunakan variasi keratan rentas yang diubah suai menganggarkan akruan mengikut budi bicara, dengan mengkaji GLC dari terdiri pemerhatian tahun-syarikat. Analisis regresi panel telah dijalankan kaedah rawak persegi terkecil (GLS) menganalisis ke atas perolehan. Penemuan mencadangkan kemungkinan lebih rendah dikaitkan dalaman. lanjut sendiri secara negatif Penyelidikan akan memberikan pandangan kepada pengawal selia mengukuhkan aspek bagi mengurangkan Kata kunci: Pengurusan pendapatan; audit; dalaman; kerajaan;