131 MEDIA BISNIS P-ISSN: 2085 – 3106 Vol. 13, No. 2, September 2021, Hlm. 131-148 E-ISSN: 2774 – 4280 Akreditasi Sinta5 SK No.164/E/KPT/2021 http://jurnaltsm.id/index.php/MB FACTORS THAT MOTIVATE THE ACT OF EARNINGS MANAGEMENT JANET JESSLYN YULIUS KURNIA SUSANTO WILLIEM CHAHYA WIJAYA Trisakti School of Management, Jl. Kyai Tapa No. 20, Jakarta, Indonesia janetjesllyn@gmail.com Abstract: The purpose of this research is to obtain empirical evidence about the influence of return on asset, financial leverage, firm size, firm age, fixed asset turnover, free cash flow, sales growth, audit quality, managerial ownership, institutional ownership, board size, and audit committee on earnings management. The population used in this research are non financial companies listed in Indonesia Stock Exchange from 2017 to 2019. The sample used for this research consists of 195 listed non-financial companies. The sampling technique used purposive sampling method, tested and analyzed using multiple regression method. The result of this research shows that return on asset, financial leverage, sales growth, and audit committee has positive influence while fixed asset turnover and free cash flow has negative influence on earnings management, moreover the other independent variables such as firm size, firm age, audit quality, managerial ownership, institutional ownership, and board size have no influence on earnings management. Keywords: earnings management, firm characteristics, corporate governance, audit quality. Abstrak: Tujuan penelitian adalah untuk memperoleh bukti empiris terkait pengaruh return on asset, leverage, ukuran perusahaan, umur perusahaan, perputaran aset tetap, aliran kas bebas, pertumbuhan penjualan, kualitas audit, kepemilikan manajerial, kepemilikan institusional, ukuran dewan komisaris, dan komite audit terhadap manajemen laba. Populasi yang digunakan dalam penelitian ini adalah perusahaan non keuangan yang terdaftar di Bursa Efek Indonesia dari tahun 2017 sampai tahun 2019. Sampel yang digunakan dalam penelitian ini terdiri dari 195 perusahaan non keuangan. Teknik pengambilan sampel menggunakan metode purposive sampling, diuji dan dianalisis menggunakan metode regresi berganda. Hasil dari penelitian ini menunjukkan bahwa profitabilitas, leverage, pertumbuhan penjualan, dan komite audit mempunyai pengaruh positif sedangkan perputaran aktiva tetap dan aliran kas bebas mempunyai pengaruh negatif terhadap manajemen laba, sedangkan variabel independen lainnya yaitu ukuran perusahaan, umur perusahaan, kualitas audit, kepemilikan manajerial, kepemilikan institusional, dan ukuran dewan komisaris tidak mempunyai pengaruh terhadap manajemen laba. Kata kunci: Manajemen Laba, Karakteristik Perusahaan, Tata Kelola Perusahaan, Kualitas Audit INTRODUCTION Profit is the financial component that becomes the center’s attention as well as the basis for decision making for those parties who have an interest. The firm primary purpose isn't just to increase the firm's profit but also to increase investor attractiveness. Now, investors change their view, they not only see about the company earnings, but they see