Accounting Articles Headline Animator

In general, individuals prefer consumption more than the consumption is less, it can be concluded that the level of individual satisfaction seiiring increases with increasing levels of consumption, and the individual is likely to increase the level of satisfaction (utility). In raising the level of individual consumption can perform a variety of ways, one of which is an investment. By investing individuals postpone current consumption for use in the production of an efficient way to convert one unit of consumption to more than one unit of consumption, so that the individual's satisfaction will increase. Thus the definition of investment is the delay current consumption for use in the efficient production over a given period. (Jogiyanto, 2009). Consumption rate here is comparable to the amount of money or funds. According to (Halim, 2005). Investments are placement of funds at this time with the hope of gain in the future.

Investment when seen from the form of his assets are divided into two, namely investments in real assets and investments in financial assets. Investment in real assets in the form of the purchase of productive assets, such as the establishment of factories, purchase of property, and so on. While investments in financial assets carried out by buying securities such as bonds, stocks, mutual funds and others.Investments in financial assets alone can distinguish direct investment and indirect investment. Direct investment is done by buying direct financial assets (securities) to the company that issued through intermediaries or by other means. For indirect investment are investment companies among investors (individuals who make investments) with the company that issued the securities. Investment companies here raise money from investors by issuing shares or mutual funds, then the funds are managed by purchasing securities issued by companies in need of funds for its operations. (Jogiyanto, 2009).