RESPONSIBLE CORPORATE GOVERNANCE AND GOOD ACCOUNTING PRACTICES IN A DEVELOPING COUNTRY– A SAMPLE STUDY ON PALAKKAD DISTRICT

Abstract

The topic chosen for this particular study is to analyze the importance of responsible corporate governance and good accounting practices. Responsible corporate governance and accounting practices walk hand in hand; one cannot function without the other. Good corporate governance has become the deciding factor that enables business concerns to maintain a strong financial position in their respective markets. Most corporate governance failures in events across the world have usually found that the reason is accounting department at fault. Responsible corporate governance builds the faith of customers in business concerns, thereby leading to lower capital costs in investments. Accountants periodically compile data to report business concerns’ internal activities to stakeholders. However, all accounting processes in organizations are rigorously controlled and monitored by certain globally accepted accounting standards and regulations. The paper is completely a conceptual one. Its basic foundation comes from various secondary sources like research articles, scholarly papers, books, various journals, and websites. Responsible corporate governance is defined followed by a discussion of different variant of frameworks of Responsible corporate governance, present status of corporation, accounting and Responsible corporate governance inter relationship, justification with the concluding remarks at the end. Responsible corporate governance is a must for today’s complex and dynamic business environment to ensure long-term sustainability. So, it should be practiced regularly and cultivated within the current structure of the business. Accounting will show us where bad governance generally comes from and the way to proceed with corporate governance financial dissatisfaction and over exercising of power.