ENVIRONMENT SOCIAL GOVERNANCE AND ACCOUNTING INFORMATION VALUE RELEVANCE IN INDONESIA

Authors

  • Clarissa Dominique Effendi Handajani Universitas Surabaya, Indonesia
  • Yie Ke Feliana Universitas Surabaya, Indonesia
  • Rizky Eriandani Universitas Surabaya, Indonesia

Keywords:

Accounting information, BVPS (Book Value per Share), EPS (Earning per Share), ESG (Environmental, Social, Governance), Value relevance

Abstract

value relevance of earnings has decreased. In addition, ESG (Environmental, Social, and Governmental) issues and the achievement of the triple bottom line have become a major focus. Therefore, this study examines the role of ESG and its component on enhancing value relevance of accounting information, especially on EPS and BVPS. This study's sample consists of 244 companies that were listed on the IDX (Indonesia Stock Exchange) between 2017 and 2021 and have ESG data on Bloomberg. By using multiple linear regression, it is found that ESG variable and all of its component are significant. Therefore, company should focus on ESG (Environmental, Social, and Governmental) issues in addition to accounting information as investors consider these factors when making decisions.

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Published

31-12-2023

Issue

Vol. 1 (2023): Proceeding of Accounting, Management, Business and Sustainability

Section

Articles

License

Copyright (c) 2024 Clarissa Dominique Effendi Handajani, Yie Ke Feliana, Rizky Eriandani

Creative Commons License

This work is licensed under a Creative Commons Attribution-ShareAlike 4.0 International License.

How to Cite

ENVIRONMENT SOCIAL GOVERNANCE AND ACCOUNTING INFORMATION VALUE RELEVANCE IN INDONESIA. (2023). Proceeding of Accounting, Management, Business and Sustainability, 1, 46-55. https://proceedings.dokicti.org/index.php/iaisumsel/article/view/106