Pengaruh Skema Pemberian Insentif dan Reputasi terhadap Budgetary Slack (Eksperimen di Masa Pandemi)

Abstract

The budget is important for the company because it functions as a planning and control tool starting from determining strategy, making decisions and controlling company finances. Especially during the Covid-19 pandemic, the budget is very important to help companies determine the steps that must be taken and reduce the risk of bankruptcy due to an uncertain situation. However, in the budgeting process, the budget is often misused because of a conflict of interest, where managers are more concerned with their personal interests than the interests of the company. In practice, gaps often arise in the budget made or called budgetary slack. This study aims to determine the effect of incentive schemes and reputation on budgetary slack. Experimental research was conducted with a 2x2 between-subject research design which will be followed voluntarily by participants of Accounting S1 UKWMS Surabaya students who have met academic requirements. The data obtained were processed using the ANOVA analysis technique. The results of this study prove that the incentive scheme has an influence on the emergence of budgetary slack. Reputation and interaction between incentive scheme variables and reputation were not found to have an effect on budgetary slack.