The Influence of Audit-Committee Characteristics on the Association between Corporate Social Responsibility and Earnings Quality

Corporate social responsibility (CSR) activities are affected by the national system, and cultural environment to which a firm belongs. This study investigates whether characteristics of an audit committee (AC) such as independence, expertise, activity, or power influence relation between CSR earnings quality for Korean firms. Multivariate regression analysis is used identify effect AC on management firms with excellence, well their contribution enhances that actively engage in practices. The results show when ACs active, using discretionary accruals participate ethical motive more tightly constrained. effective they have independent directors, accounting active participation, relative power. findings suggest positive financial reporting high levels CSR. Furthermore, crucial improving earnings, further enhanced variety superior characteristics.