THE EFFECT OF CASH FLOW, BOOK TAX DIFFERENCE, AND THE AMOUNT OF ACCRUALS ON PROFIT PERSISTENCE IN PROPERTY AND REAL ESTATE COMPANIES LISTED ON THE IDX IN 2020-2024
Keywords:
Cash Flow, Book Tax Difference, Amount of Accrual, Earnings Persistence.Abstract
This study aims to examine the effect of cash flow, book–tax differences, and accrual magnitude on earnings persistence in property and real estate companies listed on the Indonesia Stock Exchange (IDX) during the period 2020–2024. The research population consisted of 94 companies, with a sample of 24 companies selected using a purposive sampling method, resulting in 120 observations. After outlier elimination, 100 observations were analyzed. The data were analyzed using multiple linear regression with SPSS version 26, accompanied by classical assumption tests, including normality, multicollinearity, heteroskedasticity, and autocorrelation tests. The results indicate that, partially, cash flow and book–tax differences have a significant effect on earnings persistence, while accrual magnitude has no significant effect. Simultaneously, cash flow, book–tax differences, and accrual magnitude significantly affect earnings persistence. The coefficient of determination shows that the independent variables explain 18.2% of the variation in earnings persistence, while the remaining variation is explained by other factors outside the research model. These findings suggest that earnings sustainability in property and real estate companies is more strongly influenced by cash flow characteristics and accounting–tax reporting differences than by accrual magnitude
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