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Positive Analysis On Earnings Manipulation Motive Of Listed Companies In China

Posted on:2004-09-14Degree:MasterType:Thesis
Country:ChinaCandidate:X H ZhangFull Text:PDF
GTID:2156360122470441Subject:Business Administration
Abstract/Summary:PDF Full Text Request
Listed company is required to provide high quality accounting information by rapid development of security market, Due to close relationship between earnings management and accounting information, research of earnings management become key attention among investors creditor and government responsible institution as well as accounting standard instituted department. Intensify of research of earnings management is significant to improve the accounting management and to improve the function of security market resource disposing. Among listed companies, earnings management is widely adopted because of interest of big shareholders and corporation managers. Earnings management become the special accounting behavior and obsess accounting circle. At present time, earnings management is highly widespread. The cases of earnings management are continuously reported.The time appearance of security market in China is coincided with the phrase of planning economic system turning to market economic system. Chinese security market posses Chinese characteristic as follow. First, a lot of listed company is transformed from state-owned enterprise, second in order to avoid to lose the customers, CPA may make compromise and sign the false audit opinion report. Mislead the user of accounting information Third, ha China, initial public order posses planning economic characteristics, such as rating and scale. That leads to IPO and listed qualification become rare resource. It is very important for listed company to keep listed qualification.The paper studies thoroughly earnings manipulation by the listed companies in China. At first, the paper discloses the reasons why there are earnings management motive by the listed companies in economics, and the writer proposes that we should recognize earnings manipulation at passivity manner, it means earnings manipulation, and we must forbid earnings manipulation. Then the paper discusses the motives, the means, and the methods of earnings manipulation by the listed companies in the economic environment of China, and gives a evidence to the motive of right offerings by the statistical analysis and positive analysis. This result is studied by positive analysis with modified Jones model. The study indicates that there have universally been earnings manipulation at the past time, even now there are still many behaviors of irregularity and get out of line in the securities market of China, because the corporationgovernance of the listed companies is not healthiness and the regulatory departments can not supervise completely the behavior of the listed company. At last, the paper advances some constructive countermeasures and advices in allusion to earnings manipulation by the listed companies in China at present, and there are some practical reference merits to normalize the behaviors of the listed companies in China, and there are very important realism meanings to promote the healthy development of the securities market in China.
Keywords/Search Tags:listed company, earnings manipulation, motive, positive analysis
PDF Full Text Request
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