Articles
Determinants of Going Concern Audit Opinion: Evidence From Indonesian Manufacturing Companies
Abstract
Going concern audit opinions (GCAO) serve as an early warning for investors, creditors, and regulators, yet the factors behind them remain debated. This study examines whether debt default, financial condition, and the previous year’s audit opinion are associated with the issuance of GCAO among Indonesian manufacturing companies during the COVID-19 period, drawing on agency and signaling theories. Secondary data cover 45 listed manufacturing companies selected through purposive sampling, yielding 135 firm-year observations for 2019–2021. Debt default is proxied by a current ratio below one, which indicates liquidity pressure rather than contractual default; financial condition is measured by the Altman Z″-score; and hypotheses are tested using binary logistic regression at the 5% significance level. The previous year’s audit opinion is the strongest predictor of GCAO (Exp(B) = 15.405, p < .001), and financial condition is negatively but only marginally associated with GCAO (p = .045), a result that may be sensitive to an extreme Z″ value. The debt-default proxy is not significantly associated with GCAO. The model attains a Nagelkerke R² of 0.495. Auditors and investors may therefore combine distress scores with prior-period audit signals; future studies should use actual default data and robustness checks.
References
Altiyani, M. D., & Istutik. (2021). Pengaruh kondisi keuangan perusahaan dan opini audit tahun sebelumnya terhadap opini audit going concern dengan debt default sebagai pemoderasi (Studi pada perusahaan pertambangan yang terdaftar di BEI tahun 2017–2019). INSPIRASI: Jurnal Ilmu-Ilmu Sosial, 18(1), 487–499. https://doi.org/10.29100/insp.v18i1.2100
Altman, E. I. (1968). Financial ratios, discriminant analysis and the prediction of corporate bankruptcy. The Journal of Finance, 23(4), 589–609. https://doi.org/10.1111/j.1540-6261.1968.tb00843.x
Altman, E. I. (2018). Applications of distress prediction models: What have we learned after 50 years from the Z-score models? International Journal of Financial Studies, 6(3), Article 70. https://doi.org/10.3390/ijfs6030070
Altman, E. I., Iwanicz-Drozdowska, M., Laitinen, E. K., & Suvas, A. (2017). Financial distress prediction in an international context: A review and empirical analysis of Altman’s Z-score model. Journal of International Financial Management & Accounting, 28(2), 131–171. https://doi.org/10.1111/jifm.12053
Averio, T. (2021). The analysis of influencing factors on the going concern audit opinion – a study in manufacturing firms in Indonesia. Asian Journal of Accounting Research, 6(2), 152–164. https://doi.org/10.1108/AJAR-09-2020-0078
Bahtiar, A., Meidawati, N., Setyono, P., Putri, N. R., & Hamdani, R. (2021). Determinants of going concern audit opinion: An empirical study in Indonesia. Jurnal Akuntansi dan Auditing Indonesia, 25(2), 183–193. https://doi.org/10.20885/jaai.vol25.iss2.art8
Chen, K. C. W., & Church, B. K. (1992). Default on debt obligations and the issuance of going-concern opinions. Auditing: A Journal of Practice & Theory, 11(2), 30–49.
Chen, K. C. W., & Church, B. K. (1996). Going concern opinions and the market’s reaction to bankruptcy filings. The Accounting Review, 71(1), 117–128.
Connelly, B. L., Certo, S. T., Reutzel, C. R., DesJardine, M. R., & Zhou, Y. S. (2025). Signaling theory: State of the theory and its future. Journal of Management, 51(1), 24–61. https://doi.org/10.1177/01492063241268459
Endiana, I. D. M., & Suryandari, N. N. A. (2021). Opini going concern: Ditinjau dari agensi teori dan pemicunya. EKUITAS (Jurnal Ekonomi dan Keuangan), 5(2), 224–242. https://doi.org/10.24034/j25485024.y2021.v5.i2.4490
Ghozali, I. (2018). Aplikasi analisis multivariate dengan program IBM SPSS 25 (9th ed.). Badan Penerbit Universitas Diponegoro.
Ginting, S., & Tarihoran, A. (2017). Faktor-faktor yang mempengaruhi pernyataan going concern. Jurnal Wira Ekonomi Mikroskil, 7(1), 9–20.
Indonesia Stock Exchange. (n.d.). Financial statements and annual reports of listed companies. https://www.idx.co.id
Institut Akuntan Publik Indonesia. (2021). Standar Audit (SA) 570: Kelangsungan usaha (Revisi 2021). IAPI.
Jensen, M. C., & Meckling, W. H. (1976). Theory of the firm: Managerial behavior, agency costs and ownership structure. Journal of Financial Economics, 3(4), 305–360. https://doi.org/10.1016/0304-405X(76)90026-X
Luspratama, R., Cuaca, N. P., & Hutahean, T. F. (2021). Analysis of factors affecting going concern audit opinion on manufacturing companies sub sector food and beverage listed on the Indonesia Stock Exchange 2015–2019. Journal of Economics, Finance and Management Studies, 4(7), 925–934. https://doi.org/10.47191/jefms/v4-i7-06
Mutchler, J. F. (1985). A multivariate analysis of the auditor’s going-concern opinion decision. Journal of Accounting Research, 23(2), 668–682.
Mutsanna, H., & Sukirno, S. (2020). Faktor determinan opini audit going concern pada perusahaan manufaktur yang terdaftar di Bursa Efek Indonesia tahun 2016–2018. Nominal: Barometer Riset Akuntansi dan Manajemen, 9(2), 290–309. https://doi.org/10.21831/nominal.v9i2.31600
Nagelkerke, N. J. D. (1991). A note on a general definition of the coefficient of determination. Biometrika, 78(3), 691–692. https://doi.org/10.1093/biomet/78.3.691
Nurbaiti, A., & Yanti, S. D. M. (2022). The influences of company’s growth, cash flow, and debt default on the acceptance of going concern audit opinions. The Indonesian Journal of Accounting Research, 25(3), 359–382. https://doi.org/10.33312/ijar.631
Otoritas Jasa Keuangan. (2020). Peraturan OJK Nomor 11/POJK.03/2020 tentang Stimulus Perekonomian Nasional sebagai Kebijakan Countercyclical Dampak Penyebaran Coronavirus Disease 2019. OJK.
Pratomo, E. W., & Laksito, H. (2025). Pengaruh kinerja keuangan dan arus kas operasi terhadap opini going concern (Studi empiris perusahaan manufaktur subsektor industri konsumsi yang terdaftar di Bursa Efek Indonesia saat pandemi COVID-19 tahun 2020–2022). Diponegoro Journal of Accounting, 14(1). https://ejournal3.undip.ac.id/index.php/accounting/article/view/49314
Purba, M. P. (2016). Asumsi going concern: Suatu tinjauan terhadap dampak krisis keuangan atas opini audit dan laporan keuangan (2nd ed.). Ekuilibria.
Putri, N. L., Inayati, N. I., Haryanto, E., & Setyadi, E. J. (2022). The influence of previous year’s audit opinions, auditor reputation, company growth, and profitability on going concern audit opinions. Jurnal Akuntansi Indonesia, 11(1), 1–20. https://doi.org/10.30659/jai.11.1.1-20
Salim, A. (2023). Financial distress and other financial conditions on going concern audit opinions. Jurnal Bisnis dan Akuntansi, 25(2), 229–242. https://doi.org/10.34208/jba.v25i2.2073
Spence, M. (1973). Job market signaling. The Quarterly Journal of Economics, 87(3), 355–374. https://doi.org/10.2307/1882010
Suprianto, E., & Rinardi, R. R. (2022). Faktor-faktor yang mempengaruhi opini audit going concern. Jurnal Akuntansi Indonesia, 11(2), 112–120. https://doi.org/10.30659/jai.11.2.112-120
Surianti, E., & Purba, N. M. B. (2020). Faktor-faktor yang mempengaruhi opini audit going concern di Bursa Efek Indonesia. Jurnal EMBA: Jurnal Riset Ekonomi, Manajemen, Bisnis dan Akuntansi, 8(1), 2007–2019. https://doi.org/10.35794/emba.v8i1.28053.
Altman, E. I. (1968). Financial ratios, discriminant analysis and the prediction of corporate bankruptcy. The Journal of Finance, 23(4), 589–609. https://doi.org/10.1111/j.1540-6261.1968.tb00843.x
Altman, E. I. (2018). Applications of distress prediction models: What have we learned after 50 years from the Z-score models? International Journal of Financial Studies, 6(3), Article 70. https://doi.org/10.3390/ijfs6030070
Altman, E. I., Iwanicz-Drozdowska, M., Laitinen, E. K., & Suvas, A. (2017). Financial distress prediction in an international context: A review and empirical analysis of Altman’s Z-score model. Journal of International Financial Management & Accounting, 28(2), 131–171. https://doi.org/10.1111/jifm.12053
Averio, T. (2021). The analysis of influencing factors on the going concern audit opinion – a study in manufacturing firms in Indonesia. Asian Journal of Accounting Research, 6(2), 152–164. https://doi.org/10.1108/AJAR-09-2020-0078
Bahtiar, A., Meidawati, N., Setyono, P., Putri, N. R., & Hamdani, R. (2021). Determinants of going concern audit opinion: An empirical study in Indonesia. Jurnal Akuntansi dan Auditing Indonesia, 25(2), 183–193. https://doi.org/10.20885/jaai.vol25.iss2.art8
Chen, K. C. W., & Church, B. K. (1992). Default on debt obligations and the issuance of going-concern opinions. Auditing: A Journal of Practice & Theory, 11(2), 30–49.
Chen, K. C. W., & Church, B. K. (1996). Going concern opinions and the market’s reaction to bankruptcy filings. The Accounting Review, 71(1), 117–128.
Connelly, B. L., Certo, S. T., Reutzel, C. R., DesJardine, M. R., & Zhou, Y. S. (2025). Signaling theory: State of the theory and its future. Journal of Management, 51(1), 24–61. https://doi.org/10.1177/01492063241268459
Endiana, I. D. M., & Suryandari, N. N. A. (2021). Opini going concern: Ditinjau dari agensi teori dan pemicunya. EKUITAS (Jurnal Ekonomi dan Keuangan), 5(2), 224–242. https://doi.org/10.24034/j25485024.y2021.v5.i2.4490
Ghozali, I. (2018). Aplikasi analisis multivariate dengan program IBM SPSS 25 (9th ed.). Badan Penerbit Universitas Diponegoro.
Ginting, S., & Tarihoran, A. (2017). Faktor-faktor yang mempengaruhi pernyataan going concern. Jurnal Wira Ekonomi Mikroskil, 7(1), 9–20.
Indonesia Stock Exchange. (n.d.). Financial statements and annual reports of listed companies. https://www.idx.co.id
Institut Akuntan Publik Indonesia. (2021). Standar Audit (SA) 570: Kelangsungan usaha (Revisi 2021). IAPI.
Jensen, M. C., & Meckling, W. H. (1976). Theory of the firm: Managerial behavior, agency costs and ownership structure. Journal of Financial Economics, 3(4), 305–360. https://doi.org/10.1016/0304-405X(76)90026-X
Luspratama, R., Cuaca, N. P., & Hutahean, T. F. (2021). Analysis of factors affecting going concern audit opinion on manufacturing companies sub sector food and beverage listed on the Indonesia Stock Exchange 2015–2019. Journal of Economics, Finance and Management Studies, 4(7), 925–934. https://doi.org/10.47191/jefms/v4-i7-06
Mutchler, J. F. (1985). A multivariate analysis of the auditor’s going-concern opinion decision. Journal of Accounting Research, 23(2), 668–682.
Mutsanna, H., & Sukirno, S. (2020). Faktor determinan opini audit going concern pada perusahaan manufaktur yang terdaftar di Bursa Efek Indonesia tahun 2016–2018. Nominal: Barometer Riset Akuntansi dan Manajemen, 9(2), 290–309. https://doi.org/10.21831/nominal.v9i2.31600
Nagelkerke, N. J. D. (1991). A note on a general definition of the coefficient of determination. Biometrika, 78(3), 691–692. https://doi.org/10.1093/biomet/78.3.691
Nurbaiti, A., & Yanti, S. D. M. (2022). The influences of company’s growth, cash flow, and debt default on the acceptance of going concern audit opinions. The Indonesian Journal of Accounting Research, 25(3), 359–382. https://doi.org/10.33312/ijar.631
Otoritas Jasa Keuangan. (2020). Peraturan OJK Nomor 11/POJK.03/2020 tentang Stimulus Perekonomian Nasional sebagai Kebijakan Countercyclical Dampak Penyebaran Coronavirus Disease 2019. OJK.
Pratomo, E. W., & Laksito, H. (2025). Pengaruh kinerja keuangan dan arus kas operasi terhadap opini going concern (Studi empiris perusahaan manufaktur subsektor industri konsumsi yang terdaftar di Bursa Efek Indonesia saat pandemi COVID-19 tahun 2020–2022). Diponegoro Journal of Accounting, 14(1). https://ejournal3.undip.ac.id/index.php/accounting/article/view/49314
Purba, M. P. (2016). Asumsi going concern: Suatu tinjauan terhadap dampak krisis keuangan atas opini audit dan laporan keuangan (2nd ed.). Ekuilibria.
Putri, N. L., Inayati, N. I., Haryanto, E., & Setyadi, E. J. (2022). The influence of previous year’s audit opinions, auditor reputation, company growth, and profitability on going concern audit opinions. Jurnal Akuntansi Indonesia, 11(1), 1–20. https://doi.org/10.30659/jai.11.1.1-20
Salim, A. (2023). Financial distress and other financial conditions on going concern audit opinions. Jurnal Bisnis dan Akuntansi, 25(2), 229–242. https://doi.org/10.34208/jba.v25i2.2073
Spence, M. (1973). Job market signaling. The Quarterly Journal of Economics, 87(3), 355–374. https://doi.org/10.2307/1882010
Suprianto, E., & Rinardi, R. R. (2022). Faktor-faktor yang mempengaruhi opini audit going concern. Jurnal Akuntansi Indonesia, 11(2), 112–120. https://doi.org/10.30659/jai.11.2.112-120
Surianti, E., & Purba, N. M. B. (2020). Faktor-faktor yang mempengaruhi opini audit going concern di Bursa Efek Indonesia. Jurnal EMBA: Jurnal Riset Ekonomi, Manajemen, Bisnis dan Akuntansi, 8(1), 2007–2019. https://doi.org/10.35794/emba.v8i1.28053.