01361nas a2200157   4500008004100000245009000041210006900131260000900200300001200209490000700221520079100228653001501019100001801034700003201052856011901084       2000                        eng d00aThe Contribution of Changes in Advertising Expenditures to Earnings and Market Values0 aContribution of Changes in Advertising Expenditures to Earnings   c2000  a149-1550 v503 aWe examine the asset value of advertising expenditures for a sample of 320 firms with reported advertising expenditures for each of the 10 consecutive years ending in 1994. We find that, depending upon the industry, changes in advertising expenditures are significantly associated with earnings up to five years following the year of the expenditure. Furthermore, the asset values are significantly associated with the market values of the firms. Across all industries, the asset value of advertising expenditures appears to have a 3-year life with the greatest value on the current year and declining value in subsequent years. Asset values are found to be longest lived in the consumer products and industrial products industries and shortest lived in the sales and services industry.10aAccounting1 aGraham, Roger1 aFrankenberger, Kristina, D.  u/biblio/contribution-changes-advertising-expenditures-earnings-and-market-values-0