Research On Accounting Measurement Model Selection For Financial Instruments In China

Financial instruments accounting issues has been the most concerned in the accounting profession.FASB and IASB has been in the in close cooperation and cope with challenges,besides,they have done a lot of convergence work. Such as recognition, measurement, disclosure of the financial instruments, problem of impaired assets, hedge accounting, fair value measurement and the development of joint conceptual framework of FASB and IASB etc.<International Financial Reporting Standard9-Financial Instruments>(IFRS9) which was published by FASB in November2009is the most Influential.In November2010, Some problems of IFRS9were implied in the<Reform of the financial instruments accounting work is being completed> by Council President David Teddy, The original effective date of January1,2013seems inappropriate,IASB may modify the effective date of IFRS9before June30,2011which confirms the huge impact of IFRS9. Especially as the accounting measurement issues of financial instruments,IFRS9has reset the classification model of financial instruments and expanded the scope of application of the fair value measurement which makes a step forward of comprehensive fair value measurement of financial instruments.The formulation of financial instruments accounting standards of China has taken the continuing convergence of routes of International Accounting Standards. Because China has taken the mixed measurement model with cost-based and When we face the promotion of the comprehensive fair value measurement of financial instruments of IFRS9,the study of Accounting measurement model of financial instruments China is particularly important.The choice of Accounting measurement model plays a key role in the next improvments of Financial instruments accounting standards.The overall writing goals of the article is the choice of the accounting measurement model of financial instruments of China. When IASB published IFRS9and advocated the fair value measurement of financial instruments.the article takes theoretical analysis and practical data validation methods and provides some advice about how to choose the measurement model and improving the mixed measurement model with cost-based and promoting the development of fair value measurement in some extent. The main content is as follows.First, In theoretical aspects.the article is from an economic point of view to define the nature of accounting measurement mode,it says accounting measurement model is a system and public product.it Is aimed at reducing transaction costs and management costs,so the choice of measurement mode needs to meet specific institutional background. The accounting measurement model is consisted of measurement object, measurement attributes and units of measurement, the choice of measurement attributes mainly determines the type of measurement model. This paper mainly discusses the choice of the fair value basis and the cost basis measurement.It analyzes the difference between China and the international from accounting objective theory, quality of the information theory, fair value measurement theory, accounting environment factors and provides financial instruments accounting measurement mode suitable for China.Second,in the data aspect,the article analyses the current situation and existing problems of China’s accounting measurement of financial instruments respectively from non-financial sector and financial sector and analyses the expected economic consequences specially if China use fair value measurement model as IFRS9.It mainly adjusts the financial statements data manually and reclassified various financial instruments of Listed companies as IFRS9and observe the impact for financial statements data.At last, in the aspect of theoretical and practical data analysis, the paper proposed path selection of accounting measurement model of the financial instruments. We should considerate the national circumstances and accept the International Financial Reporting Standards selectively and continue the mixed measurement model with cost-based overall.Lastly,it proposed to improve the accounting measurement of financial instruments of China furtherly and how to expand the applications of fair value gradually.