IMPACT OF EXTERNAL AUDITORS ON CORPORATE SOCIAL RESPONSIBILITIES DISCLOSURE IN PAKISTAN. MODERATING ROLE OF IFRS STANDARDS

Abstract

Aim: The following study aims to evaluate the impact of external auditors on corporate social responsibilities disclosure in Pakistan, considering the moderating role of IFRS standards

Method/Design: The study has been conducted using primary quantitative data using a survey questionnaire. The sample size was selected through the non-probability sampling technique, and data was collected from the directors and audit committee members of automobile companies considering the sample size of 100. Data were analyzed using SPSS.

Findings: The study’s results suggest a positive and significant impact of assurance, conformability, and spatial judgment on CSR disclosures. In addition, it is also found that the IFRS standard positively and significantly moderates the effect of assurance, conformability, and spatial assessment on CSR disclosures.

Recommendations: It is recommended that automotive companies hire external auditors who demonstrate assurance, conformability and spatial judgment and should have a strong command of the implementation and application of IFRS standards.