The Accounting Measurement Research In The Enterprises Under Inflation

In recent years, the small and medium-sized enterprises of our country are developingrapidly both in quantity and scale under policy support, and they are important supports andplaying an essential role in the economic development. At the same time, accountinginformation is valued in historical cost and the traditional accounting measurement model ischallenged seriously because of currency devaluation with higher price level andconservatism principle in the accounting measurement and reporting. All of which makesaccounting information questioned in the relevance and reliability. In this case, changing theoriginal measurement model is becoming more and more urgently.In this paper, we analyze the present state of the economy firstly, that is, China is underserious inflation period, and then choose a larger private listed company（JX company）withlarge proportion of fixed assets to redescribe its2010financial statements with the two kindsof accounting measurement model in account of price fluctuation. Through analysis andcomparison, we find that under the condition of the higher commodity prices, the level ofpurchasing power of money reduced greatly. If we still use the traditional historicalcost/nominal currency accounting measurement model, enterprise assets will be largelyunderestimated, especially for those that fixed assets account for a larger proportion ofenterprise. The value of fixed assets and the depreciation expense is severely underestimatedin these enterprises in accordance with the accounting of the matching principle. Depreciationexpense as cost will drop in profits at the end of term for item in the income statement, andalso indirectly inflated the total profit of the enterprise. Meanwhile, enterprises pay higherincome tax which is actually part of the capital, and which makes the cash flow out fromenterprise with unperceived way. In the long term, those small and medium-sized enterpriseswill be a shortage of funds.