The Impact of Activity Ratios on Change in Earnings (Case Study:Based on Jordanian Food Companies)

Authors

  • Mohammad Jebreel Assistant Professor, Accounting Department, Faculty of Business, Applied Science Private University, MEU Research Unit, Middle East University, Amman, Jordan,
  • Mohammad Alnaimat Assistant professor, Faculty of business, Department of accounting , Alzaytoonah university of Jordan
  • Amjad Al-Shorafa Assistant Professor, Department of Accounting College of Business Administration , Majmaah University , Al- Majmaah 11952,Saudi Arabia,
  • Majed Qabajeh Assistant professor, Accounting Department, Faculty of Business, Applied Science Private University, MEU Research Unit, Middle East University, Amman, Jordan
  • Mohammad Alqsass lecturer, Accounting Department, Faculty of Business, Applied Science Private University, MEU Research Unit, Middle East University, Amman, Jordan,
  • Ahmad Bani Ahmad Department of Finance and accounting science , Faculty of Business, Middle East University, Applied Science Research Center, Applied Science Private University, Jordan

Keywords:

Total assets turnover ratio, fixed assets turnover ratio, change in earnings, Jordanian food companies, Panel Data.

Abstract

The purpose of this article is to assess whether the change in earnings of Jordanian food companies influenced by activity ratios evaluated TATR and FATR. Prior authors rely on various metrics to estimate activity ratios, however, relied on two indicators in this article (total assets turnover ratio and fixed assets turnover ratio) as independent variables and used (change in earnings) as dependent variable. To fulfill this objective, the study's population comprises the food companies sector. The sample, on the other hand, comprises 7 firms that are actively operating in Jordan and are listed on the Amman Stock Exchange. This sample is considered as panel data, encompassing the period from 2015 to 2019, the data for this study was acquired from the annual financial reports submitted by these firms. The results reached reveal that a positive influence of TATR and FATR on change in earnings achieved by Jordanian food companies. The results outlined above are in line with the current literature reviews integrated into this study, providing further support for the theoretical discussions on the interaction between TATR and FATR, as well as their impact on earnings changes.

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Published

2023-12-08

How to Cite

Mohammad Jebreel, Mohammad Alnaimat, Amjad Al-Shorafa, Majed Qabajeh, Mohammad Alqsass, & Ahmad Bani Ahmad. (2023). The Impact of Activity Ratios on Change in Earnings (Case Study:Based on Jordanian Food Companies). Kurdish Studies, 11(2), 4551–4560. Retrieved from https://kurdishstudies.net/menu-script/index.php/KS/article/view/1044

Issue

Vol. 11 No. 2 (2023): Kurdish Studies

Section

Articles

License

Creative Commons License

This work is licensed under a Creative Commons Attribution-NonCommercial-NoDerivatives 4.0 International License.

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