Research On The Influence Of Reform Of Equity Division On Accounting Conservatism

In order to solve the range of issues which bring by Equity Division in China's capital market, our country started the Reform of Equity Division in April 29,2005. As of December 2009, the Reform of Equity Division has been basically completed in our listed companies. The reform's goal is to standardize the Chinese capital market to achieve tradable shares of listed companies to optimize their equity structure. So far, Does the reform has achieved the desired goals? This is an important issue which desirved study. From the current situation, the capital structure of listed companies have a certain amount of optimization, but this is not the ultimate goal. Theory and practice still needs more respect from the community, a deeper perspective and a comprehensive assessment. The current study on the Reform of Equity Division in theorists mainly from the corporate governance performance, but rather less schoolars pay attentions on the quality of accounting information.Reviewing the relevant aspects of previous studies, The article has studied the impact of Reform of Equity Division by analyzing the change of Accounting Conservatism through the Reform of Equity Division.This paper is organized as follows:the first introduction part introduces the research background, significance, research ideas and methods, summarizing the main point view of research scholars. The second part of the review of the causes of the Equity Division reform and the significance of introducing the impact factors of the accounting Conservatism, and made a theoretical defined on accounting Conservatism in this basis, the comb and discussed the Equity Division reform on the mechanism of Accounting Conservatism, from the qualitative point of view of the reform on the influence of conservatism; third part of the use of model analysis of the Equity Division reform, the level of Accounting conservatism before and after the accounting change trend; fourth part introduces Basu inverse regression model using empirical research to share reform in 2006 at the end of the year for the sample of listed companies, and select the sample companies from 2005 to 2007 examined three years of data before and after the split share structure reform, ownership structure and robustness of the relationship between accounting; fifth part discusses the conclusion of this article, a number of recommendations for the conclusions and points out the direction for further research. Innovation and features in this thesis are:1,Approach Innovative.The affect on listed companies which bring by the Reform of Equity Division are variety. Domestic scholars work over the reform by governance performance of listed companies,dividend distribution and the macroeconomic impact of capital markets, but few scholars study for listed companies the impact of accounting information quality. The choice of accounting principles like accounting conservatism as a breach in this important research,It is very creative.2,Samples Innovation.The empirical section has chosen those listed companies which beginning and ending of the Reform of Equity Division are both in the year of 2006. And on this basis, the company selected the samples of 2005-2007 years of data, which represent the three sets of data:before the reform, in the reform and after the reform.It make my study Contrastive.