Independent Variables

IVDI

Islamic Values Disclosure Index

BRDS

The total number of directors on the board at the end of financial year

BDIV

The ratio of total number of women to total number of board members

NED

The ratio of independent directors on the board

GOWN

The ratio of shares held by government

DOWN

The number of common stocks held by directors on the board to the total number of outstanding common shares.

BOWN

The ratio of total number of ordinary shares held by institutions shareholders with at least 5%, to total number of ordinary shares.

Dependent Variables

MCGI

Corporate Governance Compliance and Disclosure Index

OS

Sub-index of MCGI related to ownership structure and exercise of control rights

FT

Sub-index of MCGI related to financial transparency

AD

Sub-index of MCGI related to auditing

CR

Sub-index of MCGI related to corporate responsibility and compliance

BS

Sub-index of MCGI related to board and management structure and process

Control variables

LNFS

Natural logarithm of the book value of total assets

SGR

The ratio of current year’s sales minus previous year’s sales, all divided by previous year’s sales

LVG

The ratio of total debt to total assets

GDP

Gross domestic product growth (annual %)

INF

The rate at which the general level of prices for goods and services is rising

DYER

A dummy variable for each year of the seven years from 2010-2016

DIND

A dummy variable for each main industry

CPI

The misuse of public power for private benefit