PSAK 117 With Financial Performance As an Independet Variable On Comapny Value In Insurance Companies

Abstract

Background - Financial performance is a depiction of the condition of a company that is analyzed to provide
information on the achieved work performance and as a basis for evaluation and assistance in making financial
decisions for the company.
Purpose - This research aims to determine the influence of applying PSAK 117 with the variables of financial
performance, profitability, and solvency on the value of the company in insurance companies.
methodology - This research uses a quantitative descriptive method. The population in this study is general
insurance companies listed in the Financial Services Authority (OJK) during the period 2018-2023 totaling 76
companies. Through purposive sampling method, 6 companies were selected as samples for a 6-year observation
period.
Findings - The result of this research that Profitability has a positive but not significant influence on the value of
the company, Solvency has a negatively influences company value is significant. Profitability is moderated by
PSAK 117 on the value of the company, and PSAK 117 is not able to moderate solvency on the value of the
company.
Originality - In an effort to demonstrate the novelty of this research compared to previous research, the
researcher attempts to compare various variables, research methods, and research results based on the theme of
the influence of financial performance on company value with PSAK 117 as a moderating variable.