Does Regulation Affects Corporate Social Responsibility And Accounting Performance Relationship: Cross-Country Analysis
DOI:
https://doi.org/10.47750/pnr.2022.13.%20S05.136Keywords:
corporate social responsibility, corporate financial performance, cross countryAbstract
The purpose of this study is to investigate the effect of regulation corporate social responsibility (CSR) on the return on asset and
return on equity. In addition, this paper also investigates the relationship between CSR and accounting performance. This paper
extend the previous research in terms of sample coverage and CSR measurement, which is zakat. Sample for this research is 709
observations firm year observation from companies in Saudi Arabia, Kuwait, and Malaysia. This research found that highly payment
of corporate social responsibility exhibit high level of return on asset (ROA) and return on equity (ROE). Unfornutaly, regulation
doesnt affect the relationship between CSR and accounting performance. This suggest that corporate performance affected
significantly by social responsibility. This findings of this research lay some foundation for corporate social responsibility regulation
formulation. In addtion, this paper recommend the implementation of CSR program benefiting the society, in turn, leads the company
to enhances the level of CFP.
