Firm value is one of the key criteria used for many business purposes such as business valuation, financial and accounting modeling, portfolio analysis, and risk analysis. In enterprise value analysis, financial analysis is performed through information derived primarily from market, industry and corporate financial statements. Financial statements contain information that describes the financial position, performance, and value of the company.
One of the important information contained in the financial statements of affiliates is that they may occur for various reasons. If transactions with affiliates are effective it can be identified by the stakeholders as positive measures and increase the value of the company but if transactions with affiliates are misused it can be identified by the beneficiaries as negative actions and therefore value The company will decline.
Companies and corporate groups can also increase their profits by lowering the various types of costs, such as tax costs, through tax avoidance, which can be perceived by beneficiaries as a positive feature or due to a mismatch. To interpret the ethics negatively.regression models were used to analyze the data and test the hypotheses.
The results showed that transactions with entities dependent on company value had a positive effect and tax avoidance had a negative effect on company value. In addition, the results show that the effect of interactions with affiliates and tax avoidance has a positive effect on company value.