CORPORATE GOVERNANCE: A NEW TRANSFORMATION IN ACCOUNTING AND ITS IMPACT ON INVESTORS
DOI:
https://doi.org/10.29121/shodhkosh.v5.i5.2024.2327Keywords:
Corporate Governance (CG), Stakeholders, Procedural Code, Board of Directors (BOD), Audit Committee, 4 Pillars of CG, Corporal FraudAbstract [English]
The sole objective of every business is the progressive trend of profit and the overwhelming trust of the investors. This can be realized only when the company works systematically adhering to all codes of conduct in the interest of its stakeholders. The ever-rising cases of financial scams and fraud laid an immediate pressure on the corporate sector to reduce the frequency of the rising corporate evils and to rethink and reframe effective procedural codes, policies, and laws to prevent their further culmination in the nation. Corporate Governance (CG) emerges as the only solution to this uprooting problem in the arena of accounting.Corporate Governance (CG) is a mechanism of accountingthat involves the system and the procedures through which companies are operated and regulated. Though the entire process of CG is managed by the Board of Directors along with the Audit Committee but key role of nominating and selecting these two parties arerelied on the shareholders. The basic principles of corporate governance are fairness, accountability, transparency, and responsibility which are also known as the four pillars of CG that if effectively adopted lead to a massive reduction in corporal frauds and mismanagement and positively improve the faith of the stakeholders. This paper tries to examine the impact of corporate governance on investors. The study is based on the primary data collected from 150 respondents and regression analysis was used to derive the conclusion.
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Copyright (c) 2024 Anshika Mishra, Rahul Pal, Kalpana Singh, Abhishek Kumar
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