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The Mediating Function of Corporate Governance in the Legitimacy Theory-contextual Relationship between Net Profit and Equity and Voluntary Disclosure

Abstract

Anders Silver

Corporate governance plays a critical role in modern business practices, influencing transparency, accountability, and overall corporate performance. In the context of legitimacy theory, corporate governance can mediate the relationship between financial indicators such as net profit and equity, and the extent of voluntary disclosure by a company. This article explores this mediating function, examining how effective corporate governance can enhance a company's legitimacy through improved voluntary disclosure.

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