Table 6 displays the results of the alternative CG
indices constructed by a similar set of binary attributes.
The results for a simple constructed index seem
to be similar to those for the PCA constructed index.
Three out of the four indices show significant results.
Note that both PCA indices and non-PCA indices are
normalized to the range of 0–100 for comparison
purposes. When we compare the impact of the simple
constructed index with the PCA constructed index,
board structure and accounting standards, PCA
indices have significantly larger impacts than the
non-PCA indices (both with p-value