• The Journal of Industrial Distribution & Business
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• v.12 no.11
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• pp.9-16
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• 2021

Purpose: Carbon emissions have now become a major concern around the world, especially for the government and private sector. Unfortunately, in Indonesia, disclosure related to company carbon emissions is still done voluntarily. This research aims to provide empirical evidence on the effect of environmental performance, carbon emission disclosure, and carbon emission intensity on the cost of equity capital. Research design, data, and methodology: This research uses secondary data with a sample consisting of Indonesia companies that are sensitive to the environment and listed on the Indonesia Stock Exchange in 2017-2019. The analytical tool used in this research was multiple regression models. Result: The study found a carbon emission disclosure had a significant positive effect on the cost of equity capital. Carbon emission intensity and company size had a significant negative effect on the cost of equity capital. Meanwhile, environmental performance did not have a significant effect on the cost of equity capital. Conclusion: Therefore, the results of this research are expected to provide feedback to the company's stakeholders that environmental performance and carbon emissions are some of the points seen by investors in making investment decisions.

• The Journal of Asian Finance, Economics and Business
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• v.8 no.1
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• pp.687-696
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• 2021

This paper investigates the effect of environmental performance and environmental management on firm value using financial performance as mediation variable. There are still inconsistencies in research on environmental performance and environmental management and their impact on company value. This research used a quantitative approach involving secondary data. The variables used are environmental performance, environmental management, company financial performance, and company value. Multiple regression was used because it allowed the researchers to examine the relationship of each variable contained in the research framework by describing all of the direct effects (non-mediated effects) and the indirect effects of the research variables. The research sample consisted of 144 manufacturing companies listed on the Indonesia Stock Exchange from 2012 to 2017. Statistically, this study found that there was no direct effect that had a significant impact on environmental performance and firm value, and found that there is a significant direct effect of environmental management variables on firm value. Improved environmental management by the company is proven to increase the value of the company directly. This paper found that, not only does an increase in stakeholder trust happen when a company increases its environmental awareness, but there is also an increase in the financial aspects of the company.

• Industry Promotion Research
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• v.5 no.4
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• pp.39-53
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• 2020

With the recent increase in the demand for corporate trust based on transparency in accounting, such as management disclosures and autonomous management disclosures for Social Innovative Enterprises, the duties of Social Innovative Enterprises on accounting and tax affairs have become important. This study looked at the effects of NCS accounting, audit and tax functions on the sustainability of Social Innovative Enterprises, which have not been studied. In particular, issues such as management disclosures and adequacy of financial statements depend on how ethically the accounting officer performs the work. Accordingly, we looked at the intermediation of accounting ethics held by the person in charge of accounting in relation to the sustainability of the NCS accounting, audit and taxation functions. The research subjects surveyed 500 people in charge of accounting at 50 social innovation companies, including social enterprises established in special cities and metropolitan cities such as Seoul and Busan, as well as social cooperatives. A path analysis was conducted with 372 valid questionnaires. As a result of the analysis, NCS accounting, audit and tax functions have a significant impact on both economic value and social value and environmental value, which are the sustainability elements of Social Innovative Enterprises. It was also found that NCS accounting, audit and tax affairs had a significant impact on accounting ethics, and accounting ethics had a significant impact on social and environmental values, excluding economic values. In addition, accounting ethics were found to have a mediated effect between NCS accounting, audit and taxation functions and the sustainability elements of Social Innovative Enterprises. In particular, the relationship between NCS accounting, audit and tax affairs and social value was found to be completely mediated.

• The Journal of Asian Finance, Economics and Business
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• v.8 no.7
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• pp.161-167
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• 2021

Nowadays, small- and medium-sized enterprises (SMEs) are placed among the key components of the economy in both developed and developing countries. They are internationally known as the driving force based on their enormous contributions to Gross Domestic Product (GDP) and generating new employment. They are generally presumed as the leader of environmental sustainability, economic prosperity, and innovation, particularly for the economy of developing countries such as Vietnam. However, SMEs have difficulty in raising capital, as well as access to credit. One of the reasons is that there are inadequacies in accounting information quality in SMEs as well as the provision of accounting information and accounting information confidentiality. The main objective of this study was to identify, evaluate, and measure the attributes of accounting information quality of SMEs in Hanoi. The study was based on a field survey using a semi-structured questionnaire on a sample of 150 accountants. The study has identified and measured six (6) attributes of accounting information quality of SMEs that have great effects on accountants. There is, statistically, no significant difference in the level of accounting information quality of SMEs in Hanoi from these different business areas. There is no, statistically, significant difference in the level of accounting information quality of SMEs in Hanoi between the mentioned three groups of the job description. Based on the findings, some recommendations are given for SMEs to improve accounting information quality.

• The Journal of Asian Finance, Economics and Business
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• v.8 no.2
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• pp.883-892
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• 2021

The issue of environmental crisis encourages companies to develop strategies and programs which incorporate social and environmental considerations into their processes. The objectives of this study are to identify the strategies used in implementing corporate social and environmental reporting (CSER) and to investigate the impact of these strategies on organization performance. This study uses as its sample companies listed on the Indonesia Stock Exchange (IDX) and engaged in environmentally sensitive business activities and applies content analysis to their annual reports. The data used in the study is secondary data in the form of annual and sustainability reports of companies, and primary data in the form of interviews. The results show that companies use both reactive and proactive strategies in reporting their social and environmental activities. The study also identifies the impacts of such reporting on both the financial and non-financial performances of the investigated companies. The study contributes to the social and environmental accounting literature by exploring the motivations and strategies of companies in their CSER. The empirical results will provide important insights into the influence of the strategies employed by companies in their corporate social and environmental reporting and the impacts of such strategies on organizational performance.

• Journal of Environmental Science International
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• v.17 no.8
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• pp.857-869
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• 2008

The objective of this research is to apply more scientific, quantitative methods and procedures of environmental investigation to the development of the natural environment and the improvement of the human environment during the establishment of a sewage treatment plant and special facilities using environmental accounting. This research was performed to develop a method of strategic environmental assessment on the operation of sewage treatment plant and reuse of shellfish seeding areas through the use of environmental accounting based on EMERGY evaluation. The result was applied to marine environment policy in order to evaluate the real wealth of the regional environment and economy for both the present phase and the proposed developed phase. Using results from the comparison of EMERGY indices between the present situation and future scenarios, cost benefit analysis was performed for three different scenarios: (I) construction of a new sewage treatment plant, (2) relocation and recovery of the shellfish seeding area, and (3) relocation and re-seeding of shellfish area and construction of a new sewage treatment plant. Cost-benefit ratios of the three scenarios are 1.88, 0.94, and 1.38, respectively.

• The Journal of Asian Finance, Economics and Business
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• v.8 no.1
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• pp.123-133
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• 2021

This research aims to examine the effect of carbon emission disclosure on firm value and to reveal environmental performance and industrial type as the moderating variables. This study used 82 samples of companies listed on the Indonesia Stock Exchange (IDX) and receiving awards in the Indonesian Sustainability Reporting Award (ISRA) in 2014-2018. This study used a multiple linear regression analysis to test the hypotheses. The results showed that carbon emission disclosure had a positive and significant effect on firm value as carbon emission disclosure is a form of corporate concern on environment positively responded by the market and becomes the basis for investors to make their considerations in assessing the company sustainability. Besides, environmental performance and industrial type can strengthen the influence relationship of carbon emission disclosure on firm value since environmental performance was assessed based on ISO 14001 certification ensuring that the company has tried to preserve the environmental sustainability by creating a good environmental management system. Moreover, companies categorized into high profile industrial type have tried to change their unfavorable image and avoid lawsuits by performing carbon emission disclosure to gain positive responses from the market.

• KSCE Journal of Civil and Environmental Engineering Research
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• v.33 no.3
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• pp.1203-1213
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• 2013

Governmental accounting system has changed from budgetary accounting on the basis of cash and bookkeeping by single entry to financial accounting on the basis of accrual and bookkeeping by double entry. In the context of this transition, infrastructure becomes considered an asset in accounting, and resulting accounting methods also take different approaches from conventional budgetary accounting. Financial accounting system defines expenditures into two categories, i.e. capital expenditure(CAPEX) and operational expenditure(OPEX), and stipulates that the expenditure shall be divided into those two categories before accounting. The construction and expansion of infrastructure must be considered a CAPEX because it means a sort of asset acquisition, but with regard to applications in practical accounting, it is actually challenging to judge whether any expenditure associated with maintenance works (including repair and service) during use of infrastructure acquired shall be considered CAPEX or OPEX. This paper suggested an asset management based accounting method for sewer maintenance expenditure. And it applied the method to actual accounting cases and analyzed them in comparison with conventional financial information. As a case study result, Sewer asset value of S city increased approximately 700 hundred won because sewer maintenance expenditure are classified between OPEX and CAPEX according to the proposed accounting method. It is expected that the proposed accounting method will contribute significantly to providing any proper sewer asset value information.

• The Journal of Asian Finance, Economics and Business
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• v.7 no.12
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• pp.749-759
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• 2020

Over the years, numerous Micro, Small, and Medium Enterprises (MSMEs) have been vigorously established across many countries. Even though the Internet of Things (IoT) has enabled companies to anchorage business returns, most Indonesian MSMEs are highly susceptible to failure and one of the main issues is the inability to manage their financials effectively. The literature on accounting points out that the success of MSMEs owing to the usage of cloud-based Accounting Information Systems (AIS) or Cloud Accounting (CA) could reduce the rate of failure by managing multiple accounting information at a low cost. Although many benefits exist, Indonesian MSMEs are not adopting these platforms in their daily business activities. This study investigates the factors that influence Indonesian MSMEs' intention to adopt CA. The study is directed by unstructured in-depth interviews with seven bestseller MSMEs where a thematic analysis technique was employed to identify them. The interview findings and prevailing literature on the influencing factors based on the TOE (technological, organizational, and environmental) framework to adopt CA in Indonesian MSMEs context are perceived benefits outweighing the cost, perceived compatibility, perceived complexity, owner-manager knowledge on accounting, organization size, competitive pressure, and informal network. The conceptual model further includes government intervention as a moderator in the model.

• The Journal of Asian Finance, Economics and Business
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• v.7 no.8
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• pp.509-518
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• 2020

This study investigates, first, whether the extent of corporate social and environmental responsibility disclosure (CSERD) differs between 2010 and 2014; second, whether government regulation affects the extent of CSERD; and, third, whether the CSERD is valued by investors. Content analysis method was used to extract 466 companies' annual reports to measure the extent of social and environmental responsibility disclosure based on the Global Reporting Initiative (GRI) checklist. Independent sample t-test and multivariate regression analysis were also conducted to test the differences of the extent of CSERD as well as determinants and consequence of CSERD. Our results show that the extent of CSERD in 2014 is 21.60 percent higher than in 2010 (13.39 percent). Government regulation has a significant effect on the extent of CSERD. This study also finds that market values positively CSER information disclosed by company. Given that government regulation has a positive impact, however, the findings of this study suggests that the extent of CSERD is still low. To enhance CSERD, government should continuously encourage companies to abide by the regulations as mandated. This study provides a more comprehensive insights of CSRED practices from an emerging country and the effect of government regulation in enhancing CSERD.