EARNINGS QUALITY AND ASYMMETRIC COST BEHAVIOR: A STUDY OF INDONESIA CAPITAL MARKET
This study investigates whether earnings quality affects to asymmetric cost behavior, i.e., sticky cost of listed firms of Jakarta Stock Exchange (JKSE). This study analyzes 1032 year-firms observations during 2012-2019 periods. This study investigates earnings quality on listed firms of JKSE during...
| Main Authors: | , , |
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| Format: | Article |
| Language: | English |
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RS Global Sp. z O.O.
2022-06-01
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| Series: | International Journal of Innovative Technologies in Economy |
| Subjects: | |
| Online Access: | https://rsglobal.pl/index.php/ijite/article/view/2342 |
| _version_ | 1797854373540265984 |
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| author | Riki Martusa Meythi Meythi Laurensia Vina Dharmawan |
| author_facet | Riki Martusa Meythi Meythi Laurensia Vina Dharmawan |
| author_sort | Riki Martusa |
| collection | DOAJ |
| description | This study investigates whether earnings quality affects to asymmetric cost behavior, i.e., sticky cost of listed firms of Jakarta Stock Exchange (JKSE). This study analyzes 1032 year-firms observations during 2012-2019 periods. This study investigates earnings quality on listed firms of JKSE during the period of IFRS adoption in 2012 and implementation of sustainability reporting voluntarily. This study finds that earnings quality influence to cost stickiness is supported. However, earnings quality negatively influences cost stickiness. The result of this study indicates that there is likely the effect of IFRS adoption in 2012 and implementation of sustainability reporting voluntarily since 2010 from listed firms on the JKSE on its earnings quality. This result is consistent with study of Banker, Basu, Byzalov, &Chen (2016). So higher earnings quality, lower cost stickiness. This study contributes theoretically to the literature on financial accounting, management accounting and cost management related to the topic of asymmetric cost behavior on earnings characteristics. This research also contributes practically to the ability of earnings quality in listed firms of the JKSE to reflect information on their financial performance related to the earnings quality by investors and financial analysts. |
| first_indexed | 2024-04-09T20:06:02Z |
| format | Article |
| id | doaj.art-0015917826a5403f9bedcae4a57364bf |
| institution | Directory Open Access Journal |
| issn | 2412-8368 2414-1305 |
| language | English |
| last_indexed | 2024-04-09T20:06:02Z |
| publishDate | 2022-06-01 |
| publisher | RS Global Sp. z O.O. |
| record_format | Article |
| series | International Journal of Innovative Technologies in Economy |
| spelling | doaj.art-0015917826a5403f9bedcae4a57364bf2023-04-01T19:41:53ZengRS Global Sp. z O.O.International Journal of Innovative Technologies in Economy2412-83682414-13052022-06-012(38)10.31435/rsglobal_ijite/30062022/78432342EARNINGS QUALITY AND ASYMMETRIC COST BEHAVIOR: A STUDY OF INDONESIA CAPITAL MARKETRiki Martusa0Meythi Meythi1Laurensia Vina Dharmawan2Lecturer Master of Accounting Program, Faculty of Business, Maranatha Christian University, Bandung, IndonesiaLecturer of Accounting Study Program, Faculty of Business, Maranatha Christian University, Bandung, IndonesiaStudent of Master of Accounting Program, Faculty of Business Maranatha Christian University, Bandung, IndonesiaThis study investigates whether earnings quality affects to asymmetric cost behavior, i.e., sticky cost of listed firms of Jakarta Stock Exchange (JKSE). This study analyzes 1032 year-firms observations during 2012-2019 periods. This study investigates earnings quality on listed firms of JKSE during the period of IFRS adoption in 2012 and implementation of sustainability reporting voluntarily. This study finds that earnings quality influence to cost stickiness is supported. However, earnings quality negatively influences cost stickiness. The result of this study indicates that there is likely the effect of IFRS adoption in 2012 and implementation of sustainability reporting voluntarily since 2010 from listed firms on the JKSE on its earnings quality. This result is consistent with study of Banker, Basu, Byzalov, &Chen (2016). So higher earnings quality, lower cost stickiness. This study contributes theoretically to the literature on financial accounting, management accounting and cost management related to the topic of asymmetric cost behavior on earnings characteristics. This research also contributes practically to the ability of earnings quality in listed firms of the JKSE to reflect information on their financial performance related to the earnings quality by investors and financial analysts.https://rsglobal.pl/index.php/ijite/article/view/2342earnings quality, asymmetric cost behavior, sticky cost, jakarta stock exchanges, ifrs adoption |
| spellingShingle | Riki Martusa Meythi Meythi Laurensia Vina Dharmawan EARNINGS QUALITY AND ASYMMETRIC COST BEHAVIOR: A STUDY OF INDONESIA CAPITAL MARKET International Journal of Innovative Technologies in Economy earnings quality, asymmetric cost behavior, sticky cost, jakarta stock exchanges, ifrs adoption |
| title | EARNINGS QUALITY AND ASYMMETRIC COST BEHAVIOR: A STUDY OF INDONESIA CAPITAL MARKET |
| title_full | EARNINGS QUALITY AND ASYMMETRIC COST BEHAVIOR: A STUDY OF INDONESIA CAPITAL MARKET |
| title_fullStr | EARNINGS QUALITY AND ASYMMETRIC COST BEHAVIOR: A STUDY OF INDONESIA CAPITAL MARKET |
| title_full_unstemmed | EARNINGS QUALITY AND ASYMMETRIC COST BEHAVIOR: A STUDY OF INDONESIA CAPITAL MARKET |
| title_short | EARNINGS QUALITY AND ASYMMETRIC COST BEHAVIOR: A STUDY OF INDONESIA CAPITAL MARKET |
| title_sort | earnings quality and asymmetric cost behavior a study of indonesia capital market |
| topic | earnings quality, asymmetric cost behavior, sticky cost, jakarta stock exchanges, ifrs adoption |
| url | https://rsglobal.pl/index.php/ijite/article/view/2342 |
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