Study Of Related Party Transactions Of Listed Companies Accounting Norms

In China, the related party transaction developed with the development of the capital market and the more and more listed companies. It refers to the economic relationship between the parties in a certain company. As for the related parties, there are lots of normal transaction through which will benefit the whole group, but in recent years, there are some companies use the unfair related party transaction to manipulate the profit of the group or the listed company.In my thesis, I concentrated on how to eradicate the unfair transaction and protect the fair one between the related parties. After comparing the standard and regulation between the different countries as well as the international standard, I have disclosed some common and difference between the Chinese and other countries. Based on my comparison, I have made some suggestion on the reform of current Chinese standard and rules in related party transaction field. I suggested in three parts: the first one is to enforce the disclose regulation for the listed companies; secondly, focus on the disclose of the price of the transaction and what the price contains; thirdly, enforce the punishment in the law when the intermediate entity or the company failed to report the real financial status of a certain company to the public.