THE EARNINGS ANTICIPATION theory

Based on the anticipation of earnings theory, bank it is good to gives long term credit which its (the amortization is scheduled as according to time decision. Payment schedule in the form of principal repayment and interest be supplier cash flow will regularly and finally requirement of liquidity also fulfilled. Basically this theory, have never refused argument commercial loan theory and also shiftability theory but adding properly not only pays attention to current assets but is important makes anticipation to cash or liquidity which will enter.
The anticipation of earnings theory majors’ liquidity in dynamic meaning. This means bank can anticipate obligation soon arrives and predicts fluent equipments, which will enter. Bank is equipped [by] adequate MIS to can compile adequate plan also. Planning easy to in condition of stable macroeconomics. Thereby is expressed the anticipation of earnings theory aware to development would be economic and more certain loan types grows from at other loan types. Like productive loan in economics, becoming grows tending to more grows compared to consumptive loan. In short, the anticipation of earnings theory becomes long term borrowing existence bottom. Yes, long term credit.