ARTICLE | doi:10.20944/preprints202305.1820.v1
Subject: Business, Economics And Management, Accounting And Taxation Keywords: audit committee, internal auditor, board’s experience, board size, financial statement fraud
Online: 26 May 2023 (02:55:19 CEST)
The COVID-19 pandemic had a wide-ranging impact, resulting in a global recession due to weakened purchasing power. This circumstance necessitates business organizations adapting to developments and being more conscious of the risk of financial statement fraud. The intention of this research is to investigate the way corporate governance affected financial statement fraud during the COVID-19 pandemic. To acquire empirical data for examining corporate governance variables on financial statement fraud, the research was examined using quantitative methods. The study takes advantage of secondary data acquired from annual reports of companies under special monitoring listed on the Indonesia Stock Exchange of 2020-2021. The logistic regression method was used to evaluate 134 data sets, and financial statement fraud was measured using the Z-Score and F-Score models. The results indicate that using the Z-score, only the board size has a negative effect on financial statement fraud during the COVID- 19 pandemic. Meanwhile, using the F-Score, the corporate governance variables studied are not proven to have an influence on financial statement fraud during the COVID 19 pandemic.