Social and Environmental Disclosures and Holistic Growth in the Positive Accounting Theory (PAT) View

Abstract

The objective of this study is to examine corporate social and environmental disclosure and holistic growth in the Positive Accounting Theory (PAT) view. Specifically, the paper investigates the relationship that exists between corporate social responsibility and Return on asset, leverage, and firm size. The data for this study were obtained from secondary source which were collected from the audited annual reports as well as accounts of the listed Deposit Money Banks in Nigeria. The paper is descriptive and highly empirical as it embraces the use of panel regression technique as tool of analysis. The regression analysis shows that corporate social and environmental is associated with: ROA, firm’ size, and leverage. Therefore, the outcomes confirm positive relationship between support the bonus plan hypothesis and political cost hypothesis, while association with debt/equity hypothesis is negative. The study recommends effective disclosure of corporate social responsibility as one of factors that brings about holistic growth.