Core Operating Income and Earnings Persistence

Abstract

Business essentially generate profits through operating activities and grow on th1s basis. Therefore, the core business activities of the company not only represent this intent of the company, but also become a core concern of stakeholders. The result of this study are R&D expenditure ratio has a negative effect on earning persistence and the advertising expenditure ratio negativrly affects on earning persistence in high accrual sample while positively affects on earning persistence in low accrual sample.