An Empirical Research On Earnings Management Of Our Listed Companies

Earnings management is a topic of nearly twenty years in western countries. On the other side, its study in china evolves recently. However, with the economic reform, development of capital market and the change of related accounting laws. The spread of earnings management has caused accounting information inconsistent with the facts. It has always been a focus of investors, bondholders, security supervision department etc. In fact, it is not only a simple accounting problem but an involved social one. Accordingly, to study the earnings management problem of listed company in our country is fully necessary and urgent now.This article conducts the research from the working capital angle to our listed companies' earnings administrative action. First, the article has given the brief explanation to the research goal and the method as well as the research frame, simultaneously reviewed the literature about the earnings management; next, we carry on the analysis to the earnings management elementary theory. The earnings management implication, the characteristic are mainly involved, and involve the motive as well as the main earnings management method.Once more, it is this article's core part. It analyses the listed companies' working capital, and conducts an empirical research on earnings management of our listed companies, based on the listed companies' working capital. Through the empirical research, non-discretionary working capital accruals have the very tremendous influence on the operating income and the net income distributions. Through the working capital, the listed company causes the operating income and the net income form be smaller than the zero by originally to adjust for be bigger than the zero. The accounting news the listed company announced in the report form show that the operating income and the net income are the main centralism distribution in zero right flanks. Moreover, they are very close to the zero, presents not the continual distribution in the zero both sides. But deducted the non-discretionary working capital accruals, the operating income and the net income present smoothly in zero neighbors, stable distribution.Moreover, in full text finally, we have proposed some correlation suggestions about earnings management in view of working capital. These suggestions have certain practical reference value on regarding the standards of our listed companies' behavior, and also have certain practical significance on regarding the promotion stock market development healthily.