The effect of CSR disclosure to firm value with earning management as moderating variable: case study of non-financing firms listed at Indonesia Stock Exchange

Corporate social responsibility (CSR) activities may be one of the strategies to maintain the viability of the firm. The purpose of building a positive image among stakeholders made CSR become one of many ways to increase the value of the firm. Another way that the firm can do to increase their value is by performing the practice of earnings management. This study aims to examine and analyse the effect of earnings management on the relationship between CSR disclosure and value of the firm. Samples used were 55 non-financial companies listed in Indonesia Stock Exchange. The results of this study proved that earnings management and size of the firm have a significant positive effect on firm value, whereas CSR disclosure and leverage variables have no significant effect on firm value. Another result is earnings management has a significant negative effect on the relationship between CSR disclosure and firm value.