An Empirical Study On Implementation Effects Of Asset Impairment Standard

China promulgated a new Enterprise Accounting Standards in 2006, adding specific criteria of Accounting Standards for Enterprises No.8 - Impairment of Assets which made a complete system of asset impairment. The new standard of asset impairment has a lot more changes than our previous system, in which the most notably diversification is banning the reversal of long-term assets for impairment. The new standard has executed in listed companies for more than three years. Whether this provision can hold back earnings management of enterprises and effectively improve the quality of accounting information. Just what is needed to study in this paper.This paper is divided into three parts: the theory analysis, the policy analysis and the empirical analysis, which is particularly focusing on the empirical study of Shenzhen A-share listed company's implementation of the asset impairment policy from 2004 to 2008 and analysis of its impact factors. In the theoretical analysis, this paper starts from the basic concept, describing the theoretical basis of accounting for impairment of assets and its implementation meaning. In policy analysis, the article analyzes the influence of new asset impairment policy on earnings management, including the inhibition role and the room left. Based on the theory and policy analysis, the paper develops empirical research further. Firstly, it proposes hypothesis, variables and model design with 505 Shenzhen A share listed companies as the study object, as means of descriptive statistics, correlation analysis and multiple linear regression analysis using the SPSS software, than makes a reasonable explanation concerning our country's political and economic environment.Study conclusion: in the year when 2006 Guidelines issued, there did exist a phenomenon that considerable asset impairment was ready to be reversed. After the implementation of new guidelines for impairment of assets, the provision for impairment of assets resulted in structural changes in listed companies, mainly in reducing the provision for impairment of long-term assets, but in increasing the provision for impairment of short-term assets. The research's results show that the companies making provision for impairment of enterprises under the implementation of the new guidelines have more consideration of economic factors, which inhibit the phenomenon of earnings management to some extent, and guarantee good asset quality.