Research On Chinese Financial Accounting Conceptual Framework

The conceptual framework of financial accounting is a part of accounting theory. Theframework is composed of a set of objectives and a series of basic concepts. The conceptualframework of financial accounting is used to guide and evaluate the set of accountingstandards. FASB、ASB、AASC、IASB and other Accounting Standards Committee issuedunique framework. There is no formal conceptual framework in our country, basic standardhas issued by the finance department and tried to play a role of present conceptual framework.Despite that its content have been improved, basic standard has a few of limitation.Therefore, some efforts should be made in order to establish a real concept frameworkwhich guiding the formulation of accounting standards, on the basis of considering thecharacteristic of the economic system and environment. This paper gives some suggestions onreconstruction of CF. Research purpose、discussion on question of CF and research resultswill be introduced in the first chapter. The second chapter discuss the theoretic attribute ofCF. Throughout this paper, every component of the framework works in concern with theaccounting objectives and keeps them logically. This paper analyzes following the logicalorder: Objective Of Financial Reporting—Reporting Entity—BasicAssumptions—Qualitative Characteristics Of Accounting Information—AccountingMeasurement—Accounting Element—Accounting Reporting.For the accounting objectives, in the context of present circumstance and the expectationof future development, this paper believes the “stewardship perspective” and“decision-making utility perspective” are not contradictory, and stewardship perspectivegradually turns to decision-making utility perspective. This paper gives a reason on whyaccounting period, monetary measurement, accrual basis is not basic assumption, anduncertainty and currency stable hypothesis should be put forward. For the qualitativecharacteristic of accounting information, this paper divides the qualitative characteristics ofaccounting information into basic qualitative characteristic、overall qualitative characteristic、key qualitative characteristic and secondary qualitative characteristic.According to the lastestresearch achievement and the real context, the reliability is the key qualitative characteristic and usefulness is the overall qualitative characteristic. For the measurement, the paper putsforward the double-measurement model, and gives suggestion that the historic cost is aprimary measurement and present value should be eliminated. For the accounting element,this paper expands the recognition boundary accounting.For the weakness of presentreporting, the paper enlarges the scope of financial report to meet the requirement of users.