The Influence of cash Flows, Debt Levels and Company Size on Earnings Perceptions (Empirikal Studies of Manufacturing Companies on Indonesian Stock Exchange Period 2015-2018)

Abstract

This study aims to examine and determine the effect of operating cash flow, debt levels, and company size on earnings persistence. The sample used in this study was manufacturing companies listed on the Indonesia Stock Exchange (IDX) during the 2015-2017 period. The total sample of 27 companies using purposive sampling technique.

Data analysis methods used multiple regression and regression analysis to assess the absolute difference. Multiple linear regression analysis with a test of the absolute difference in value to determine the operating cash flow, debt level, and company size on the earnings perspective. The result of this study indicate that operating cash flow, debt levels have a positive and significant effect on earnings persistence.

Based on the results of partial research that operating cash flow, the levels of debt has a significant effect on financial performance, while the size of the company has a significant effect on financial performance.