Study On The Earnings Management Of The Listing Corporation Based On The Differences Between Accounting

Traditional empirical testing method of earnings management (method based on Accruals) has been demonstrated that there were errors, so many scholars choose new points of view, in these efforts, new concepts and ideas began to produce finally. One of them I have to mention is the test method basing on differences between tax and accounting. Earnings management has been a hot issue and the main task in the field of financial accounting, these years empirical researches about earnings management emerge in an endless stream. In foreign countries, there’s a lot study in this field, but for China, in the starting years of the implementation of the new accounting guidelines and the new enterprise income tax law, there’s not too much studies. Today, enterprises have had a better understanding and application of the new guidelines and new tax law, and the possibility to use their differences to manipulate earnings had been more obvious.This method can be summed up in this way, compared to the use the tax laws, the use of the accounting standards can be more flexible, if manages take advantage of this differences between accounting profit and taxable income to manipulate accounting earnings, then there will be a big difference between them. Thus, the size of this difference can be a description of the earnings management of managers. Based on the study of China’s economic realities and the existing research results, as well as the accounting standards and enterprise income tax law, this paper choose two kinds specific motives of earnings management as the breakthrough point, comprehensively analyze the role of the difference in recognizing the earnings management behavior of managers. This article has an important implication to the study of the theory and practice of earnings management.The method of the research is a combination of the normative theoretical analysis and the empirical experience. The theoretical analysis is mainly in the domestic and foreign literature on the basis of defining, Chinese listing Corporation earnings management motive and means of earnings management, and comparative evaluation of several empirical methods, and mainly from China’s tax law and accounting system difference angle analysis, how to use the difference between tax to earnings manipulation. Empirical Study on listing Corporation in China public disclosure of the data base, one by one of the research questions and hypotheses of investigation and inspection, to Chinese listing Corporation different motivation earnings management behavior and the difference between tax related index relationship to make objective assessment.This thesis can be divided into five parts:The first part is introduction. This part mainly discuss the topic of this article research goal and significance, motive, research angle and research questions and the related literature review, the literature at home and abroad is reviewed and summarized, and described the main research method and the framework.The second part is the theory summary. The second part is the theoretical basis of this paper, introduces the concept of earnings management, earnings management motivation, definition and earnings management empirical test method comparison and evaluation.The third part is the empirical study design part, including the two hypotheses are proposed, and the variable, sample selection criteria and inspection model selection;The fourth part is to profit and avoid loss listing Corporation as the inspection object empirical results;The fifth part is the conclusion of the paper and the deficiency of this thesis.