ANALISIS PENGARUH RASIO KEUANGAN TERHADAP PRAKTIK INCOME SMOOTHING PADA PERBANKAN SYARI’AH DI INDONESIA

The objectives of this study are to examine whether islamic banks in Indonesia do earning management with income smoothing through manipulating the amount of loan loss provisions along with influenced factors. Dependent variable used in this study is the income smoothing practice variables used in this study is capital adequacy ratio (CAR), probability (ROA), non performing financing (NPF) and financing to deposit ratio (FDR). Object studied in this research is islamic banks which is the Sharia Commercial Banks registered in the Central bank of Republic Indonesia year 2014-2016. The Sample was selected using purposive sampling method and obtained seven banks being sampled. Eckel’s koefficient was used as a tool to identify income smoothing practice. Subsequently performed descriptive statistics and logistic regression analysis to test each hypothesis. The result showed that islamic banks do earning management with income smoothing practice. Furthermore, two independent variables significantly (positively and negative) affected the dependent variables, and two independent variabels not significantly