Effect of Leverage and Free Cash Flow on Earnings Management with an Independent Audit Committee as a Moderation

This study aims to examine the Effect of Leverage and Free Cash Flow on Earnings Management with Independent Audit Committee as a Moderating Variable. The samples used were manufacturing companies in basic chemical industry sectors that listed Indonesia Stock Exchange (IDX) published annual reports sustainability for 2018-2020 period. Sampling was carried out using purposive sampling method. Data analysis this Panel Regression Analysis Eviews 9 application tool. results indicate free cash flow variable measured by DAC has negative effect earnings management. However, leverage DAR positive moderating variable, namely independent audit committee ratio, is unable moderate relationship between