Financial statement is a product of the company's accounting and reporting systems that present quantitative data on the company's financial position and performance. High earnings quality provides more information about the company's financial performance characteristics that are relevant to the specific decisions that must be made by decision-makers. This research examined the effect of earnings quality as measured by discretionary accruals on investment and its efficiency made by the company. The research sample was 82 manufacturing companies in 2009. The results of this study found that the quality of the financial statements do not affect the level of investment made by the company both companies that are under or over-investment. Opportunities for growth and firm size effect on corporate investment decisions.
Original Title
Kualitas laba dan pengaruhnya terhadap keputusan investasi
Financial statement is a product of the company's accounting and reporting systems that present quantitative data on the company's financial position and performance. High earnings quality provides more information about the company's financial performance characteristics that are relevant to the specific decisions that must be made by decision-makers. This research examined the effect of earnings quality as measured by discretionary accruals on investment and its efficiency made by the company. The research sample was 82 manufacturing companies in 2009. The results of this study found that the quality of the financial statements do not affect the level of investment made by the company both companies that are under or over-investment. Opportunities for growth and firm size effect on corporate investment decisions.
Financial statement is a product of the company's accounting and reporting systems that present quantitative data on the company's financial position and performance. High earnings quality provides more information about the company's financial performance characteristics that are relevant to the specific decisions that must be made by decision-makers. This research examined the effect of earnings quality as measured by discretionary accruals on investment and its efficiency made by the company. The research sample was 82 manufacturing companies in 2009. The results of this study found that the quality of the financial statements do not affect the level of investment made by the company both companies that are under or over-investment. Opportunities for growth and firm size effect on corporate investment decisions.