Predictive value of accruals and the moderating role of company size: Empirical evidence from Jordan

The cash flow statement aids the management to ascertain profitability and liquidity position of a company. One can understand from how efficiently company is paying its obligation in various forms liability expense. This study aimed explore ability short-term accounting accruals predict flows. sample included 77 Jordanian companies listed between 2006–2019. Cash flows were measured by net operating flows, expressed as: change account receivable, accounts payable, inventories, other accruals. results demonstrated future relationship was significant, except for payable. However, findings indicate that size has not moderated flow. recommends using items besides accruals, improve their use control variables increase predictive power model, such as financial leverage size. AcknowledgmentsI would like thank Amman Arab University great support, funding this study.