Research On Accounting Issues Under The Internet Of Things

Since the International Telecommunications Union proposed the concept of “The Internet ofThings” formally, it attracted the attention of governments all around the world. From America’s“Smarter Planet” to Japan’s “I-Japan” and China’s “12th Five-Year Development Plan of TheInternet of Things”, governments introduced policies to find a new points of economic growth tohelp the country out of economic downturn. The rapid development of IOT in the socialproduction and living brought great convenience to people’s production and living. At present,IOT have gradually formed a clear industry, such as Smart Grid, Smart Home, IntelligentTransportation, Intelligent Medical, Smart Environment, Intelligent Manufacturing and so on.However, the application and popularization of IOT is still in its infancy. From the rapiddevelopment of the application of IOT, we can see that it had changed people’s lives at analarming rate, and it will make a profound impact on the corporate accounting.Starting our research from the development and application of IOT, we explored thepossible accounting change under the environment of IOT through two levels of theory andapplication with literature analysis, standardize research methods, comparative analysis and caseanalysis method. As for the study on IOT involved more extensive content, this paper onlydiscussed three aspects such as Financial Reporting, Inventory Management and Internal Control.Under the environment of IOT, Internet of Things technology will turn the objectives ofcorporate financial reporting to “Decision-useful”, make financial reports more timely andaccurate, and further exacerbate the contradiction of both financial reports’ supply and demandwhich will result in the corporate financial reporting’s change into "values" and achievethree-dimensional double-layer reporting model under the environment of IOT. As for theinventory management, we discussed three issues: inventory planning, inventory control andinventory accounting. We made a conclusion in this part that inventory accounting will achievethe specific identification method under the environment of IOT. Due to the overall perceptionand intelligent processing features of IOT, enterprise need to adjust the internal control. At theend of this article, we discussed the optimization method of the internal control under theenvironment of IOT.