Title: The impact of social responsibility disclosure on the liquidity of the Jordanian industrial corporations

Authors: Alaa Abu Mallouh; Asem Tahtamouni

Addresses: Yarmouk University, P.O. Box 566, Irbid 21163, Jordan ' American University of Madaba, P.O. Box 2882, Amman 11821, Jordan

Abstract: This paper aims to identify the impact of the disclosure of corporate social responsibility on liquidity of the Jordanian industrial corporations. This will be done by investigating the impact of the disclosure of corporate social responsibility activities on liquidity during the period (2013-2015). The paper developed an index of corporate social responsibility disclosure and examined the annual financial reports of some selected companies listed in Amman Stock Exchange. In order to evaluate the impact of the disclosure of corporate social responsibility activities on liquidity in Jordanian corporations during the period (2013-2015), a multiple linear regression analysis was conducted to identify the relationship between the study's variables. The paper found that the level of disclosure of corporate social responsibility items among the sampled companies is below than the required level. It was concluded that there is no statistically significant impact for disclosing any of the corporate social responsibility activities on liquidity represented in the current and quick ratios. Moreover, there is no relationship between the disclosure of corporate social responsibility and liquidity in the sampled companies.

Keywords: corporate social responsibility; disclosure; liquidity; Jordanian industrial corporations; Amman Stock Exchange.

DOI: 10.1504/IJMFA.2018.093504

International Journal of Managerial and Financial Accounting, 2018 Vol.10 No.3, pp.273 - 300

Received: 13 Apr 2018
Accepted: 28 May 2018
Published online: 26 Jul 2018 *

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