Abstract
The scope of this chapter is to shed further light on the impact of CER performance and its components on the level of conservative financial reporting by utilizing a multi-country research setting and incorporating various sub-categories of environmental performance and conservatism metrics including the verification of negative earnings, negative cash flows and a firm-specific measure of conservatism (the C-score proposed by Khan and Watts (J Account Econ 48:132–150, 2009)), thus providing more thorough evidence in the existing literature regarding the impact of CER on the conservatism of accounting numbers with the EU. The empirical analysis in this chapter corroborates previous arguments in the literature on the negative association between CER and conservatism.
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Dimitropoulos, P., Koronios, K. (2021). Corporate Environmental Responsibility and Accounting Conservatism. In: Corporate Environmental Responsibility, Accounting and Corporate Finance in the EU. CSR, Sustainability, Ethics & Governance. Springer, Cham. https://doi.org/10.1007/978-3-030-72773-4_12
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