The Effect of Accounting Conservatism On Corporate Social Responsibility: Evidence from the Corporate Governance Index in Türkiye.

Abstract

The purpose of this study is to measure whether the companies listed in the BIST Corporate Governance Index have conservative accounting policies and examine the impact of this conservatism on Corporate Social Responsibility (CSR) and its components. Panel data analysis was used in the study. The results mean that companies listed on the BIST Corporate Governance Index prioritize conservative accounting policies and apply them in their financial reports. Additionally, it has been determined that accounting conservatism has a positive impact on companies' CSR scores and their components, with a stronger influence on board of directors scores and stakeholder scores. This finding suggests that companies with conservative accounting policies prioritize the interests of internal management while also valuing external stakeholders.