Applied Study On Hedge Accounting In China

With the development of society and the gradual improvement of market-oriented economy, the capital market in China is developing rapidly. And it provides more benefits as well as more risks to the corporations and individuals. After the financial crisis in 2008, the corporations in our country began to pay more attention to the risk prevention; meanwhile, the more and more intense competition between the corporations all over the world makes the study and practice of hedge develop rapidly. However, the hedge accounting is also the most complicated part of all the accounting issues, thus makes the application of it very difficult and unsatisfying, and the complicated economic environment in China brings many specific issues which can only by solved targeted. So, we believe it is very important to do an applied study on this urgent and significant issue.Practice brings more than knowledge, so we should pay more attention on the practical application of hedge accounting in China, this study will first analyze thoroughly into the problems of hedge accounting, and then find out the deepest causes of the problems, at last come up with some niche targeting solution of the problems in order to make some contributions to the improvement of hedge accounting in our country.There are six sections in this thesis:The introduction section mainly expatiates on the background and the significance of this study. Then the research gives current positions of researches on hedge accounting both at home and abroad.The second section expounds the related theories of hedge accounting which includes the conceptions of hedge and hedge accounting, the standards on hedge accountings, etc. In this section, there is also a recapitulation on the difficult issues of hedge accounting.The third and forth sections play an important role in the whole thesis, the author will do analysis on all the aspects of hedge accounting to see the effect of application comprehensively. Then the research will show the problems and the causes.In the fifth section, the thesis will give some suggestions on how to improve the application of hedge accounting. The suggestions are both from the macroscopic aspect and the microscopic aspect; they will make a total solution of the problems mentioned in the previous sections.The last section gives the conclusion and the limitations of the research.