Abstract
This paper aims to explore the concept of stewardship theory applied in
the finances of cooperatives. It analyzed patterns between total
receivables and gross income, total assets and net surplus, total equity
and total assets, number of members and paid-up shares, and paid-up
shares and retained earnings over a 7-year panel data of audited
financial statements of 657 cooperatives in the seven (7) provinces of
the Cordillera Administrative Region, Philippines. A curve estimate was
used to interpret the cooperatives’ commitment to stewardship theory as
applied in their finances. The result reveals weaknesses in terms of the
cooperatives’ commitment to stewardship theory that could bring negative
impact on their financial performance. The result brings practical
implication which recommends that the cooperative leaders, members and
employees must have greater commitment to financial stewardship.