An Application On The Relationship Between Conservative Accounting Practices And Corporate Governance Practices On The Banking Sector

With the development of technology and globalization, an international competition environment has developed in financial markets. The acceleration of international fund flows, the increasing integration of financial systems with technology, have led companies to take some measures. In a global competitive environment, some companies have begun to adopt institutionalization, quality auditing or conservative accounting practices to gain trust and reputation. On the other hand, decision-makers who manage financial systems have started to establish and implement a set of standards that will regulate the institutionalization and audit activities of companies. In this study, the effect of conservative accounting practices of firms in the banking sector on the profitability of firms is examined. In this respect, the data of the firms in the Banks and Special Finance Institutions Sector between 2009-2017 were analyzed by the regression analysis method. As a result of the study, it was determined that the conservative accounting practices and corporate management practices increased the profitability of the companies in the Banking Sector