Abstract:
One of the basic assumptions of management accounting illustrate that costs
changes has a significance Relationship with increasing and decreasing in the level
of activity, recently after being raised of sticky costs issue by Anderson and his
colleagues this assumption was discussed. It means Increases in costs by increasing
the more activity level of reduction in costs is exchange for the reduction in the
level of activity. Anderson et al (2003) changed the expression of Cost behavior to
sticky costs. The Subject profit forecast error is one of the issues that can affect
investment decisions to hold or transfer of shares, because purchase of shares of
the new company's stock is riskier process than other companies; Because of its
lack of trading Background, historical information related to their is low. Accordingly,
in prediction two fundamental goals follow: The first one obviously is the
proper planning and second one is Familiarity and deployment of predictive techniques
using predictive techniques for decision making and problem solving process.
The aim of this study was to investigate the relationship between forecast
error of earnings and sticky cost in Tehran Stock Exchange. To achieve this aim, a
main hypothesis and sub-hypothesis has been proposed, and to test hypotheses
data 108 firms listed companies in Tehran Stock Exchange using systematic sampling
purposefully selected, and data of the period between 2007 to 2013 was used
for statistical analysis. Finally, the results indicate that There is an inverse relationship
between sticky costs and forecast error of earnings, and also between
sticky cost of goods sold and sticky costs of sales.
Machine summary:
ARTICLE INFO Article history: Received 04 May 2016 Accepted 01 August 2016 Keywords: Forecast error of EarningsCost behaviorSticky cost behavior of sold adherent goodsBehaviorBondingGeneral and AdministrativeExpenses ABSTRACT One of the basic assumptions of management accounting illustrate that costs changes has a significance Relationship with increasing and decreasing in the level of activity, recently after being raised of sticky costs issue by Anderson and his colleagues this assumption was discussed.
The first sub-hypothesis: There is a relation between sticky goods sold with forecast error of profit in listed companies of Tehran Stock Exchange.
The second sub-hypothesis: There is a relation between sticky costs sales with General and administra- tive error in predicting the earnings of listed companies in Tehran Stock Exchange.
7. The results of the first sub-hypothesis There is a relation between sticky costs of goods sold with the profit forecast error listed companies in Tehran Stock Exchange.
The second sub-hypothesis results There is a relation between sticky cost of sales and general and administrative error in predicted profits of the listed companies in Tehran Stock Exchange.
The result of main hypothesis There is a relation between sticky costs with error profit forecasts at companies in Tehran Stock Ex- change.
Discussion and conclusions According to this test, analyses were performed through regression and correlation and we conclude that there is a coefficient of correlation between the independent variables market capitalization of the listed companies, and also there is a relation between adherence costs and profit forecast error listed companies in Tehran Stock Exchange.