Backdoor Listing Of A Business Combination Accounting Method Choice

Accounting method choice about business combination is always the hot topic of accounting fields, people cannot agree each other on this, and reverse merger is also another topic of mainland capital market in recent years, so the accounting method choice is come to hotter and hotter. Because of in different choice, there will be different accounting and economic result.On Feb 15 2006, The Ministry of Finance issued new and , it built up the standard in business combination fields from scratch, and with the and file 17th issued, the accounting method for reverse merger is more and more clear, set up the standards for more and more stock market business combination and reverse merger cases.There is long history about business combination and reverse merger cases accounting research in USA and other developed countries, but in china, it's just at the beginning. The thesis try to get some ideas from some typical cases in china stock market since 2007-2008, according the rules of reverse merger between CAS and IFRS, after careful research, get some view as below,I.In different period of historic, under different accounting principle, difference accounting method choice will get great affection.II.In a long time period, equity transaction method will be the first accounting method choice for reverse merger.III. Another suggestion for reverse merger ,in order to keep the safety operation of stock market, besides the unity of accounting method, another supervision measures should go along with the market development.