Research On Financial Evaluation Of Corporate Social Responsibility

Along with the development of society, the Corporate Social Responsibility becomes more and more important. But there is no appropriate financial analysis method for Corporate Social Responsibility. In this article, the Corporate Social Responsibility Theory is considered as part of the traditional financial analysis system, which not only helps the company make decisions but also helps other information users understand the financial results better.At fist, the article states the general introduction to the theories of financial evaluation in terms of Corporate Social Responsibility. Then the theoretical basis and information basis of financial evaluation of Corporate Social Responsibility are given. It is too difficult to create an independent Corporate Social Responsibility Evaluation System nowadays. So in this article the indexes of Corporate Social Responsibility Evaluation System are combined with the tradition financial evaluation system to give a comprehensive evaluation system.We select 7 aspects of quantitative ratio, which are employee, environment, community, consumer, stockholder, creditor and supplier, giving score to evaluate the Corporate Social Responsibility. Then we add the score into the score of traditional financial analysis system by weighted-average method to calculate the final score. At last we take Sinopec as an example to explain the use of this financial analysis method under the consideration of Corporate Social Responsibility. At the same time the article gives the shortages of the case and the method.