Study On The Biological Assets Measurement Attributes And The Financial Impact Of J Company

Agriculture is the foundation of the national economic construction and development. Being the main production objects and factors of agricultural enterprises, biological assets are important components of agribusiness’ assets. With the continuous development of economic and trade at home and abroad, the constant improvement of financial market environment and the increasing of enterprises engaged in agricultural production activities, the demand for accounting information is also increasing in capital market.This paper is divided into five parts, the specific contents of each part are as follows. Part Ⅰ:Introduction section. This section introduces the background and the significance of the research, sorts out the literature at home and abroad and establishes the research methods, ideas, innovations and shortcomings. Part Ⅱ:the basic theory of biological assets. This section describes the related concepts, the features, the classification of biological assets and the requirements of biological assets accounting standards. Part Ⅲ:biological assets measurement of J company attribute selection factors. This section introduces the basic situation of J’s biological assets measurement, analyzes the problems and the influencing factors of attributes seletion. Part Ⅳ:the financial impact of biological assets measurement attributes. Rely on the data of J, this section analyzes the measurement of J’s consumable biological assets and productive biological assets seperately, and makes comparison between historical cost and fair value. Thus analyze the impact on financing. Part Ⅴ:Conclusion. By analyzing the basic theory of accounting measurement attributes and combining the special features of biological assets, put forward the biological assets measurement attributes suitable for J company. That is, measurement attributes according to the development of the market, J’s consumptive biological assets should choose fair value measurement attribute, J’s productive biological asset should choose the historical cost measurement attributes.However, due to the particularity of biological assets’ transformation and its natural appreciation, most of the listed agricultural companies can not provide detailed information on biological assets and the accounting information users can not make the right decisions. The Biological assets accounting standards issued in 2006 has been implemented more than seven years. The attributes seletion problem of biological assets measurement has been a controversial topic at home and abroad constantly. Therefore, the accounting measurement of biological assets and related financial impact studied in this paper is significant to the business accounting for biological assets in agricultural enterprises, the development of accounting theory and the sustainable development of agribusiness economic.