Electronic Theses and Dissertation

This study aims to (1) analyze the effect of company size on the choice of inventory accounting method, (2) analyze the effect of financial leverage on the choice of inventory accounting method, (3) analyze the effect of earnings. before tax on the selection of inventory accounting methods (4) to analyze the effect of company size, financial leverage and profit before tax on the selection of inventory accounting methods. this research is an empirical study conducted on manufacturing companies listed on the indonesia stock exchange during 2015-2018 and there are 78 companies sampled in this study. the analytical tool used in this study is multiple linear regression with spss version 26. the results of this study indicate that company size and financial leverage have a significant effect on the choice of inventory accounting method, but profit before tax has no significant effect on the choice of inventory accounting method. keywords: firm size, financial leverage, profit before tax, choice of inventory accounting method