Impairment Accounting Of The Assets Of Listed Companies

Asset impairment refers to the reduction of the asset values-in-use caused by external factors, internal use or scope changed. Generally the reduction is unexpected and by chance.For a long time, the phenomenon of false assets and profits is common in our enterprises. Besides some subjective factors, the main reason is the laggard and imperfect system. At present, asset impairment accounting is still in the preliminary stages of development and the current system is lack of technical issues. Accounting academics lack a comprehensive, systematic research on asset impairment accounting. So this article is going to study its definition, theoretical basis, recognition and measurement comprehensively. At the base of domestic and abroad researches, the article expounds the essence and theoretical system of asset impairment accounting.The main research method is criterion-based. And some demonstration-based research is introduced. The article demonstrates as follow:The second part starts from the concept of asset and analyzes the meaning of asset and impairment of assets and so on. Then the brief review to the production and development of international and our country's impairment of assets has been made separately. Then it discusses separately the basic theories of impairment of assets based on the definition of asset, accounting goal, historical cost principle, conservatism principle, relevance and reliability.The third part discusses new accounting standards on the identification, the measurement and the disclosure of impairment of assets. This is the core of impairment of assets.The forth part analyzes the impacts on the listed companies due to the impairment of assets.The fifth part puts forward some questions and puts some suggestions on the establishment and the perfection of impairment of assets accounting, e.g. external inspection and surveillance, the company's governed structure and so on.