Joint analysis of explanatory factors for cost stickiness

• Published in: Revista contemporânea de contabilidade Vol. 16; no. 40; pp. 91 - 109
• Main Authors: Luiza Santangelo Reis, Altair Borgert
• Format: Journal Article
• Language: Portuguese
• Published: Universidade Federal de Santa Catarina 01.12.2019
• Subjects: análise conjunta; assimetria de custos; fatores explicativos
• ISSN: 1807-1821; 2175-8069
• DOI: 10.5007/2175-8069.2019v16n40p91

The study objective is to determine the explanatory factors' joint interaction related to the decision-maker and the organizational environment in the asymmetry of costs. Through confirmatory factor analysis and empirical regression model, the results suggest that the two clusters positively affect, in similar magnitudes, the asymmetry of general and administrative expenses, which proves the existence of the explanatory factors effects that overlap in the sticky behavior explanation and corroborate the contemporary view on cost management caused by the managers' deliberate decision. Still, through exploratory analysis, 6 constructs were revealed that summarize the interactions of the cost asymmetry explanatory factors. Finally, it is concluded that this research contributes to the understanding of cost behavior based on a broader view, and not isolated in relation to explanatory factors, by providing subsidies for new theories and practical models of profit forecasting to analysts.