PENGARUH FRAUD TRIANGLE DALAM MENDETEKSI FINANCIAL STATEMENT FRAUD

Abstract

This research aimed to have an empirical evidence which related to the effect of fraud triangle in detection of financial statement fraud of banking company which were listed on Indonesia Stock Exchange 2014-2018. The data were secondary which in form of annual report of banking company 2014-2018. While, the data collection technique used purposive sampling. In line with, there were 16 banking companies as sample. Moreover, the data analysis technique used multiple linear regression with SPSS 23. The research result concluded as follows: (1) personal financial need which was referred to stock ownership ratio by company’s managerial (OSHIP) had positive and significant effect in order to detect the financial statement fraud; (2) nature of industry which was referred to loan to deposit ratio (LDR) had negative and significant effect in order to detect the financial statement fraud; (3) financial stability which was referred to capital adequacy ratio (CAR), external pressure which was referred to leverage ratio (LEV), financial target which was referred to return on asset (ROA), effective monitoring which was referred to proportion of committee audit independent (IND), and change in auditor which was referred to independent auditor change (AUDCHANGE) did not affect in detecting the financial statement fraud.
Keywords: Fraud Triangle, Financial Statement Fraud, Discretionary Accruals