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Effect of Financial Leverage on Voluntary Corporate Social Disclosure among Listed Firms on Nigerian Stock Exchange: A Study of Selected Manufacturing Firms

Author

Listed:
  • Segun idowu Adeniyi
  • Helen Oluwatoyin Adebayo

Abstract

The study examines the effect of financial leverage on voluntary corporate social disclosure among selected listed manufacturing firms on the Nigerian Stock Exchange. The specific objectives of the study is to determine the effect of financial leverage on voluntary economic disclosure, voluntary social disclosure, voluntary environmental disclosure and the interaction of voluntary economic disclosure, voluntary social disclosure with voluntary environmental disclosure. The study employs ex-post facto design and secondary data. The study discovered that financial leverage does not significantly affect voluntary economic and environmental disclosure among selected listed manufacturing firms on Nigerian Stock Exchange. However, financial leverage significantly affects voluntary social disclosure among selected listed manufacturing firms on Nigerian Stock Exchange. The study recommends that firms should engage in voluntary corporate social disclosure no matter the level of their financial leverage.

Suggested Citation

  • Segun idowu Adeniyi & Helen Oluwatoyin Adebayo, 2018. "Effect of Financial Leverage on Voluntary Corporate Social Disclosure among Listed Firms on Nigerian Stock Exchange: A Study of Selected Manufacturing Firms," Academic Journal of Economic Studies, Faculty of Finance, Banking and Accountancy Bucharest,"Dimitrie Cantemir" Christian University Bucharest, vol. 4(3), pages 18-24, September.
    • Handle: RePEc:khe:scajes:v:4:y:2018:i:3:p:18-24
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    References listed on IDEAS

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    4. Waris Ali & Muhammad Rizwan, 2013. "Factors Influencing Corporate Social and Environmental Disclosure (CSED) Practices in the Developing Countries: An Institutional Theoretical Perspective," International Journal of Asian Social Science, Asian Economic and Social Society, vol. 3(3), pages 590-609.
    5. Khaled Aljifri & Abdulkareem Alzarouni & Chew Ng & Mohammad Iqbal Tahir, 2014. "The Association between Firm Characteristics and Corporate Financial Disclosures: Evidence from UAE Companies," The International Journal of Business and Finance Research, The Institute for Business and Finance Research, vol. 8(2), pages 101-123.
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    7. Mohamed Chakib Kolsi, 2012. "The Determinants of Corporate Voluntary Disclosure: Evidence from the Tunisian Capital Market," The IUP Journal of Accounting Research and Audit Practices, IUP Publications, vol. 0(4), pages 49-68, October.
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    More about this item

    Keywords

    Financial leverage; economic disclosure; social disclosure; environmental disclosure; voluntary corporate social disclosure;
    All these keywords.

    JEL classification:

    • H54 - Public Economics - - National Government Expenditures and Related Policies - - - Infrastructures
    • O16 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Financial Markets; Saving and Capital Investment; Corporate Finance and Governance

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