Empirical Research On The Influence Of Assets Impairment To Earning Management On Corrent Accounting Standards

Accounting to impairment of assets exists a lot of flexibility and ambiguity, it can meet the different motivations of earnings management of different listed companies.Therefore, impairment of assets has become an important tool for listed companies to manipulate accounting earnings. Accordingly, there has been a hot academic research on asset impairment and earnings management. In nearly two decades of development history, our country asset impairment accounting has experienced from Never to have accounting policies. The current system of accounting standards issued by the Section8"Impairment of Assets" criteria in the February15,2006. Current guidelines for impairment of assets identified clear signs of impairment. Prohibit the reversal of the impairment of assets and so long-term, Standarded criteria for determining the amount of the impairment and so on. One of the goals is to change the listed companies use existing accounting standards to curb asset impairment accounting earnings management behavior. Whether to change the criteria for impairment of assets to achieve the compression space listed company earnings management purposes? Indeed, changes in existing accounting standards object primarily long-lived assets.Impainnent of current assets accounting treatment was not much substantive changes. Herefore, the key is whether the impairment policy changes to achieve its intended goal to impairment of assets of listed companies use to manage earnings target is current assets or long-lived assets for impairment. This article is for the implementation of the existing asset impairment criteria examine the effect on the relationship between various types of impairment of assets of listed companies and earnings management conducted an empirical study. In this thesis, the theoretical and empirical analysis to take a combination of methods to study. Starting from the basic concepts of the theory part, mainly on the basis of asset impairment accounting theory and implementation significance. Analysis of existing accounting standards for impairment of assets on the relevant provisions introduced in mind. And the reasons for earnings management, the pros and cons and the constraints are analyzed. On the pros and cons of earnings management analysis, our results in the current market environment, it should be a "concept of opportunistic behavior", suppress earnings management behavior of enterprises. Against constraints on earnings management analysis, results in accounting standards plays a vital role in restricting earnings management. Empirical part, to the manufacturing of Shanghai A-share listed companies based on2007-2012data, to distinguish between different operating performance of the company, the relationship between impairment of assets and earnings management research, combined with our unique political and economic environment environmental interpreted accordingly. The study found that under (1) the current accounting standards, different operating performance, underlying earnings management of their differences with the impairment of assets, and the use of various types of asset impairment different emphases. Large (2) Although the implementation of existing accounting standards for impairment of assets of listed companies use to manage earnings impact. However, the current accounting standards for impairment of assets for business use of the inhibitory effect of earnings management is not significant. Description:Although the majority of our listed companies are required to follow accounting standards for asset impairment provision and reversal. However, the current accounting standards can only contain a certain degree of impairment of assets of listed companies use to manage earnings. Finally, based on the analysis of theoretical and empirical research, the author proposed to further improve the existing system, to curb excessive earnings management countermeasures and suggestions.Innovation of this paper:(1) the introduction of impaired assets in the study of motivation in earnings management and sub-categories studied impairment of assets of the way. Depending on the motivation of earnings management company into profit sample smooth, profitability and exaggerated three losses, asset impairment distinction between short-term assets impairment of long research.(2) This article Select data2007-2012study sample data sufficient to verify the implementation of the existing asset impairment criteria for a strong effect of credibility. To make up for previous literature studies after the current asset impairment guidelines issued by data gaps.(3) to verify the effect of the current overall asset impairment criteria for earnings management, long-term impairment of assets that can not be reversed by a listed company is making more short-term asset impairment provision and turn back to achieve the established objectives. Provide policy recommendations to modify and improve the standards of the relevant provisions of the capital market.