THE EFFECT OF CORPORATE SOCIAL RESPONSIBILITY (CSR) DISCLOSURE TOWARDS FIRM VALUE

Abstract

The purpose of this research is to determine the effect of Corporate Social Responsibility (CSR) Disclosure towards Firm Value. CSR Disclosure is company's or business world's commitment to contribute in continuous improvement by considering the corporate's social responsibilities and emphasizing on the balance between economy, social, and environment. Firm value in this research is determined by tobins'q ratio. The sample of this research is listed mining companies in 2010 until 2013 which published the annual reports in 2010 until 2013 and disclosed their Corporate Social Responsibilities. The sample is selected by using the purposive sampling method. There are 17 companies which meet the sample criteria. Analysis method used in this research is simple regression and t test is used for hypothesis testing. Based on the calculation of determination coefficient, CSR Disclosure has a positive effect toward firm value, a significant effect shown from the result of t test (2,361) which is higher than the t table (1,67155).