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observation at all times in relation to each other. This test uses a model Durbin Watson DW-Test. The hypothesis to be tested are:
Ho = no autocorrelation r = 0, Ha = no autocorrelation r ≠ 0
If the value of DW is greater than the upper limit or the upper bound du and less than 4- du means no autocorrelation Ghozali, 2011.
3. Hypothesis Testing
a. Coefficient of Determination
Cox and Snell R Square and Nagelkerke R Square is a measure that seeks to imitate the size of R2 in multiple regression based on Likelihood
estimation techniques. Nagelkerke R Square easier to interpret than Cox and Snell R Square so as to know how much variability in the dependent
variable that can be explained by the independent variables can be seen from the Nagelkerke R Square. Nagelkerkes R Square is a modification of
the coefficient Cox and Snell to ensure that its value varies from 0 zero to 1 one. This is done by dividing the value of Cox and Snell s R2 with
maximum value. Nagelkerkes R Square value can be interpreted as the value of R2 in the multiple regression. A small value means the ability of
the independent variables in explaining the variation of the dependent variable is very limited. Approximate value of the independent variables
provide almost all the information needed to predict the variation of the dependent variable.
b. Multiple Linear Regression Analysis
The analysis used in this research is multiple linear regression, namely by looking at the effect of Good Corporate Governance proxied by
31
Independent Commissioner
and Managerial
ownership, Growth
Opportunities, and Sales Growth to Accounting Conservatism on the LQ 45 companies listed on the Indonesian Stock Exchange IDX , The
regression model in this study are as follows: CONS
it
= β0 + β1 Indepent
it
+ β2 Manag
it
+ β3 GO + β4 SG
it
+ e
Where :
CONS : The Level of the Accounting Conservatism are
measured using the Feltham and Ohlson Model Kootanaee, et al 2013
Indepent : The existence of independent commissioner is measured by
calculated number of independent commissioner divided by total number of commissioner in the company Padmawati and Fachrurrozie, 2015
Manag : Managerial Ownership, measured by the percentage of shares
owned by Management and actively participate in corporate decision
which includes commissioners, directors and its afiliation Padmawati and
Fachrurrpzie, 2015
GO :
To measure growth opportunities of the company by calculated market to book value of equity according to Novikasari and
Sofyan, 2013
SG :
to measure for sales growth ratio by calculated change of
sales divided by net sales Padmawati and Fachrurrozie, 2015 E
: error
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c. Simultaneous Significant Test F-Test
