BOARD COMPOSITION EFFECTIVENESS ON CORPORATE PERFORMANCE DIRECTLY AND THROUGH EARNING MANAGEMENT
The corporate performance to be reached, there are many boards should be included through operating firms activities. But existing such challenges still face many corporations. Furthermore, implementing corporate social responsibility in order to catch up the corporate performance still quite difficult, especially in developing countries where the earning management remains in financial statements which causes asymmetric information. Thus, this study tries to investigate and analyze the effectiveness of board composition (board size, board meeting, board diversity) as independence variables on (earning management) as intervening variable in order to reach (corporate performance) as dependent variable, and the smart PLS is the great statistical technique has been used to analyze secondary data collected from annual reports of such firms which are under agriculture field. The out coming showed that composition board (board size – board meeting – board diversity) have a significant effect on corporate performance
Keywords: Board Composition, Earning Management and Corporate Performance.