Authors : Fuad Hudaya Fatchan; Ilham Nuryana Fatchan
Volume/Issue : Volume 8 - 2023, Issue 2 - February
Google Scholar : https://bit.ly/3IIfn9N
Scribd : https://bit.ly/3KiPnX0
DOI : https://doi.org/10.5281/zenodo.7651767
A related party transaction is a transfer of
resources, services or obligations between the reporting
entity and related parties, regardless of whether a price is
charged. There are several factors that can influence
abusive or efficient related party transactions, namely
family ownership and political connections. This study
discusses the effect of family ownership and political
connections on related party transactions with control
variables, namely audit quality, firm size, profitability and
firm age. This research focuses on mining companies listed
on the Indonesian stock exchange in 2016-2020 with a
research sample of 170 companies. Data analysis used
Eviews 9 with the Random Effect Model test. The results
of the study show that family ownership and political
connections have an effect on related party transactions.
Control variables are audit quality, company size,
company age effect on related party transactions.
Profitability has no effect on related party transactions.
Keywords : Related Party Transactions, Family Ownership, Political Connections, Audit Quality, Company Size, Profitability, Company Age