The Effect of Quality Costs on Operating Profit

Osi Luthviani Putri (University of Sultan Ageng Tirtayasa)
Mulyanah Mulyanah (University of Sultan Ageng Tirtayasa)
Anistya Vinta Desi (University of Sultan Ageng Tirtayasa)

JURNAL RISET AKUNTANSI TIRTAYASA
Vol 11, No 1 (2026): April

This study aims to investigate the influence of each component of quality costs on a company’s ability to generate operating profit. A quantitative research design was employed, targeting a foreign direct investment (FDI) manufacturing company located in the Balaraja industrial area. A total of 36 respondents were selected using purposive sampling. Data were analyzed using Structural Equation Modeling (SEM) with the assistance of SmartPLS software. The empirical results indicate that preventive costs do not have a significant effect on operating profit, while assessment costs, internal failure costs, and external failure costs exhibit a significant and positive impact on operating profit..