Study On The Influence Of Corporate Governance Among Listed Companies On Accounting Conservatism

Under the modern enterprise system, Separation of ownership and management rights resulted in the agency problem of corporate governance. Compared with other stakeholders, managers hold more internal corporate information, the objective function is inconsistent so managers have the motivation and the ability to obtain additional revenue through the manipulation of accounting earnings, harm the interests of shareholders and other small investors. The accounting conservatism is by asymmetric recognition of gains and losses to improve the quality of accounting information, including conditions robustness timely confirmation of the loss of more stringent requirements, thereby curbing managers exaggerate accounting earnings, the company conceal adverse information act to protect the interests of small investors, easing the conflict between stakeholders problems caused by the agent radically.In the many factors that affect accounting conservatism in corporate governance mechanism is very important. Effective corporate governance enables management to choose a more robust accounting policy to improve the robustness of corporate accounting. Therefore, the accounting information users can determine the effectiveness of corporate governance as the company’s financial information is a sound basis. Therefore, this paper based on the perspective of corporate governance, internal governance mechanisms discussed how the impact of accounting conservatism.This paper selects the data after the implementation of new guidelines for 2007-2012, using the Basu (1997) model accrued cash flow model of two measurement methods, from different robustness substitution variables, combined with advantages of the two models, but also to some extent alleviate their shortcomings, the empirical results obtained more convincing. This paper examines the robustness of the Public Company Accounting existence, followed by the addition of equity features in the model, the board features three managerial ownership level of corporate governance variables, verify ownership concentration, ownership balance degree, the proportion of state-owned shares, independent director system, whether part-time board of directors and managers, management and ownership relationships among variables between accounting conservatism. The empirical results show that:China’s listed companies accounting conservatism common characteristics. The proportion of state-owned shares、ownership concentration and the ratio of executive ownership have an negative correlation with accounting conservatism; Block holders has a positive correlation with it; while the proportion of independent directors had no effect on accounting conservatism.