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Study On Accounting Method Of Enterprise Consolidation In Our Country

Posted on:2005-09-12Degree:MasterType:Thesis
Country:ChinaCandidate:F LiuFull Text:PDF
GTID:2156360122499670Subject:Accounting
Abstract/Summary:PDF Full Text Request
In September 1993, our government announced that legal shareholders may enter secondary market, later Baoan consolidated Yanzhong Industrial Co.Ltd, which appeared enterprise prelude in our country. After 1997, the phenomenon that enterprises of our country combined the resources making use of recombination or consolidation increased progressively year by year. Consolidation really became the important part in the capital market of our country. The enterprise consolidation brings a lot of questions, also takes assaults to the modern financial accounting mode greatly. How does the enterprise consolidation carry on accountings? What different influence does different accounting treatment produce after enterprise consolidation? How can we formulate the standard of accounting treatment of enterprise consolidation in our country? Etc. Such of these become the questions that the accounting educational circles and the supervisal department pay close attention to day by day. This text is aimed at the above-mentioned problems. It summarizes and uses external experience for reference, also combines the current situation of enterprise consolidation in our country. It analyses the punish influence of each accounting treatment, and revises the accounting criterion of the enterprise consolidation, so have more and more far-reaching realistic meanings.It has two kinds of accounting treatment methods mainly to the enterprise consolidation at present: purchase method and pooling of interests method. To these two kinds of accounting treatment methods, a lot of studies both at home and abroad inquire into the feasibility using two kinds of methods. The article makes a competently brief document survey first. It summarizes the summary of the existing achievements in research of our country. And then looks for the research direction of it. Taking a broad view of the research documents that the relevant enterprises consolidation of our country, scholars have already explored deeply on the enterprises changing shares' consolidation between listed company and non-listed company, listed company and listed company. They have advised to a great deal of questions on changing shares. This text aims at the precedents that the non-listed enterprise control interests and consolidate the listed company. Its accountings deal with the purchase method and the pooling of interests method. It tries to perfect the frame of theoretical research that accountings dealt with.Article proceeds from the angle of theory, recommends the historical backgrounds and producing terms of the purchase method and the pooling of interests method. The nature of the enterprise consolidation determines its suitable accounting method. If the economic subject uses the ways, such as cash, stock, etc. to obtain another economic subject, the latter's control privilege changes, it can't control the original net assets, such should be regarded as buying. The accounting adopts the purchase method; If economic subjects just turn into jointly developing from managing independently each other, their shareholders don't lose their rights and interests, only change the subject of investing the rights and interests, such consolidation is regarded as the stock right uniting, the accounting adopts the pooling of interests method.Article discusses the accounting character of the purchase method and the pooling of interests method progressively thereafter. It introduces the dispute in the accounting educational circles on two kinds of methods. Purchase method shares the buying price the consolidating enterprise pays into the every net assets of consolidated enterprise. The assets and debts of consolidated enterprise are written down on the account of the consolidating enterprise by just and sound market price. The difference that buying price subtracts the just and sound market price of the consolidating enterprise is confirmed as the goodwill; Pooling of interests method doesn't need to confirm the just and sound market price of net assets of consolidated enterpri...
Keywords/Search Tags:Enterprise Consolidation, Purchase Method, Pooling of Interests Method, Goodwill
PDF Full Text Request
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