Study Of Change And Its Economic Consequences Of Debt Restructuring Guidelines

The Ministry of Finance issued the basic norms and 38 specific criteria of the new set of accounting standards system. It marks our accounting standards are in accord with the international accounting standards. It is important that it is propitious to regulate the market economy and develop foreign economic relations. Meantime By comparing, I found it is the same as 1998 accounting standards. One of reasons of 1998 edition's abolishment is that public companies exert a fierce earning management under the cover of this item and issue the 2002 accounting standards. The purpose of this paper is to analysis diversification of this three accounting standards and it result in earning management.First, I analysis the change of 1998,2002,2006 accounting standards in theory,then found theirs similarities and differences.Second, in positive part, I collect listed company annual reports of the year of 2007 and 2008 in Shanghai and Shenzhen Stock Exchange and choose the earning management listed company in them. This article carries out the description statistics, hypothesis test, multi-regression analysis and sensitivity test to analysis the facts. And I found that Debt Restructuring company carried out earning management through 2006 accounting standards.Finally, for the results, we advice for the perfection of accounting standards.