The Effect of Promotion Costs, Salaries and Training Costs toward Profits at State-Owned Commercial Banks in Indonesia
Abstract
A bank's profit is determined by the amount of costs and revenues, among which costs that significantly affect profits include promotion costs, salary costs and training costs. The purpose of this researchtotesthow muchgreat influence of promotion costs, salaries and training on company profits. The object of this research is state-owned enterprise banking consisting of Bank Mandiri, Bank Rakyat Indonesia and Bank Negara Indonesia for the fiscal year 2017 to 2022. The data source is secondary data in the form of financial statements published in the Financial Services Authority. Data analysis used multiple linear regression by doing partial and simultaneous test. The independent variable that was built in this study consisted of promotion costs as X1, salary costs (X2) and training costs (X3), while the dependent variable was the banking profit of State-Owned Enterprises. The results of the study prove that partially the promotional cost variable (X1) has a significant and positive effect on company profits, Salary cost variable (X2) proved to have a significant and positive effect on company profits and training costs (X3) also proved to have a significant and negative effect on company profits. The results of simultaneous testing of the variables of promotion costs (X1), salary costs (X2) and training costs (X3) proved to have a significant and positive effect on company profits. The implication of this research is that the leadership of state-owned commercial banks consisting of Bank Mandiri, Bank Rakyat Indonesia and Bank Negara Indonesia need to increase the promotion costs and employee salary costs in order to increase company profits. Salary costs (X2) and training costs (X3) proved to have a significant and positive effect on company profits. The implication of this research is that the leadership of state-owned commercial banks consisting of Bank Mandiri, Bank Rakyat Indonesia and Bank Negara Indonesia need to increase the promotion costs and employee salary costs in order to increase company profits. Salary costs (X2) and training costs (X3) proved to have a significant and positive effect on company profits. The implication of this research is that the leadership of state-owned commercial banks consisting of Bank Mandiri, Bank Rakyat Indonesia and Bank Negara Indonesia need to increase the promotion costs and employee salary costs in order to increase company profits.
Keywords: Promotion Cost, Employee Salary, Training Cost
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