PENGARUH AUDIT INTERNAL, INTELLECTUAL CAPITAL, DAN GOOD CORPORATE GOVERNANCE TERHADAP KINERJA KEUANGAN

Abstract

This research aimed to find out the effect of internal audit, intellectual capital, and Good Corporate Governance on banking financial performance. While, its financial performance was measured by CFROA, internal audit was measured by number of internal audit, intellectual capital was measured by VAICTM, and Good Corporate Governance was measured by calculating its score. Moreover, the population was some banking companies which were listed on Indonesia Stock Exchange during 2013-2018. Furthermore, the research was causal-comparative with quantitative approach. Additionally, the data collection technique used purposive sampling. In line with, there were 28 banking companies as sample. In addition, the data analysis technique used multiple linear regression. The research result concluded internal audit, as well as intellectual capital had positive and significant effect on banking financial performance. It meant, the better the internal audit and intellectual capital which owned by the company, the better the financial performance of its banking system. On the other hand, Good Corporate Governance had negative and insignificant effect on banking financial performance. This was occurred as the companies did not implement Good Corporate Governance due to its necessity but rather because of compliance with existing rules.
Keywords: internal audit, intellectual capital, good corporate governance, financial performance