The Study On Profit Measuring Of Asset-Liability View And Revenue-Expense View

Information about profit is most important in all of the accounting information provided by financial statements. Essentially, a company’s business performance is assured in its whole life, so the total profit measured by different method should be consilient. However, under the fundamental assumption of accounting periods, the data of profit in one single accounting period may be different using different profit measuring views. Thereby, the company’s profit will present different distribution patterns in different stages of its lifetime. As two kinds of profit measuring views, the Asset-Liability View(A/L View) and Revenue-Expense View(R/E View) play different roles on a company’s profit measuring process.The Ministry of Finance published Accounting Standards for Business Enterprises (ASBE) On February15th,2006.The A/L View has been introduced to the standard, while the R/E View still exists, like a mixed model. This article will make a systematic study on profit measuring theory of A/L View and R/E View, and judge the coordination of profits measured by valuation model and matching model, through the way of demonstration test.The research object of this article is the profit measured by A/L View and R/E View, the main method is standard research mixed with demonstration research. The article has five parts:in Chapter1, we expound the background and the significance of the study, the framework and the method of the study, and summarize related research domestic and overseas, at the same time, present the innovations and the shortcomings of this article. In Chapter2, we discuss the basic theory about profit measuring, such as the theory of contract、the theory of effective market assumption and the theory of profit, to provide the theory support for the following chapters. In Chapter3, we compare the A/L View and R/E View in a comprehensive view, and tracing their alternate evolution in history, the later part of this chapter expound the reflect of the A/L View in the ASBE、the influence of two profit measuring views and their gain and loss. In Chapter4, after the theory analysis above, we choose the financial data of our country’s listed companies without financial industry though the year2007to2010, and make the test for significance of difference of the profits measured by two patterns using the statistical software of SPSS. After this, we make the coordinating analysis annually、between different years and between Shenzhen Stock Exchange and Shanghai Stock Exchange, for a better statement of this issue. In Chapter5, we make a summary of the study, and put forward the limitations of this article and the areas for further study.