The Effect of Good Corporate Governance and Firm Size on Financial Performance

Abstract

This research aimed to examine the Influence of Good Corporate Governance (GCG) Mechanism and Firm Size of Corporation toward Finance Performance. This research’s objects were conventional banking corporations registered at the Indonesian Stock Exchange from 2015 to 2018. The research used 98 samples; the sampling technique employed purposive sampling with specific criteria determined. The data analysis technique utilized was a double linear regression analysis using SPSS. Based on the research’s result conducted, the Board of Director had a significant positive influence toward ROA, the Board of Commissioner had a significant positive influence toward ROA, the Institutional Ownership had an insignificant influence toward ROA, the Independent Commissioner had a significant positive influence toward ROA, and the Corporation Size had significant positive influence toward ROA.