The Identification Of Earnings Management Of Listed Companies In China

According to the complexity of accounting information and the ponderance of disservice, earnings management of listed companies is a great problem for investors, supervisors and auditors in capital market. The research of earnings management is a focus for scholars all over the world, as to my opinion, upbuilding an efficient model to detect earnings management is a good way to reduce the risk for investors and auditors, and to help supervisors.The main content of this paper is to summarize the means to reveal earnings management, especially about the models existing. On the groundwork of foregone investigation and the background of the reality condition of our capital system, this article chooses some indexes about equity structure and financing to found a model by means of Cascaded logit.The positive study results in some significative outcomes. Firstly, the effect of the model is nicer according to the proof-test by Spss 11.0.Secondly, the equity structure is a good factor to detect earnings management, in other words, equity structure can affect earnings management. Thirdly, some accounts of accrual basis used by this article can detect earnings management, some cannot. The indexes or profit ability have great pertinence with earnings management. Finally, the extent of earnings management is serious, but the punish is slight, and the supervisory of the government is inefficient.At last, this thesis brings forward some advice thereunder the problems found by the positive studies. That is, we' d better aggrandize the punishment of earnings management in our country, increase the efficiency of auditing, and reform our capital system of listed companies.