Uncovering the Practice of Accounting Conservatism: How Do Corporate Social Responsibility, Good Corporate Governance, and Foreign Ownership Affect It?

This study aims to identify the factors influencing the application of accounting conservatism in the energy sector. The energy sector faces challenges related to Corporate Social Responsibility (CSR) and Good Corporate Governance (GCG). CSR refers to a company's commitment to contributing to economic development and improving the well-being of employees and the broader community. This research utilizes 213 observational data points collected through purposive sampling over a three-year analysis period. Panel data regression is used to test six proposed hypotheses. The research results show that, based on partial testing (t-test), only the CSR variable (p-value = 0.0241) and Institutional Ownership (KI) variable (p-value = 0.0171) have a significant influence on accounting conservatism, while the other variables are not significant. The moderating interaction variable (CSR*Foreign Ownership) has a p-value of 0.7105, indicating insignificance, meaning that its presence does not have a meaningful impact on the relationship between the other variables.