The Research On Corporate Environmental Costs Accounting

As main components of economics, and the bottom of environmental damage,corporations should apply the envirenment protection not only to the business strategybut also the daily operations. Now it’s inevitable to place the environmental costs as anobject of a special account in the entire accounting system.Though complexed theenvirenment cost acounting, corporations should better look far ahead from a highplane in order to lay the foundation for the sustainable development of theirselves andthe whole society.This paper will research the immature environment costing study in our countryby both the the standard research and case analysis. The article explains the coreproblem in six sections. The first part is the background and the significance of study,as well as the literature review at home and abroad on this issue. The second part is anoverview of corporate environmental costs and related theories. Firstly, it gives thedefinition as well as the connotation from different aspects of environmental costs,while classify environmental costs in accordance with different criterias. Then itintroduces several features of environmental costs. Also it lists several closely relatedtheories of environmental costs, the theory of sustainable development included, totalcost theory and social responsibility cost theory. The third part elaborates therecognition, measurement, accounting and disclosure from the conventional concept ofaccounting. As for recognition, the key to this issue is the identification of capitalizedcosts and expensing costs, in addition of the several recognition criteria ofenvironmental costs. There are two measurement principles for environmentalcosts.One is general principle, the other is specific. At present, there exist twoadvanced accounting methods, which are the method of life-cycle and the method ofactivity-based costing(ABC). As for the information disclosure, the passage elaboratesthe object of information disclosure scilicet various information users,besides of themodel of disclosure. The fourth part pointed out the problems facing the environmental cost. The fifth provides the corresponding effective measures. Part six is a case of asteel company, it clearly reacts the entire accounting process through the environmentcosting of a steel company. The seventh part is conclusion,which summary the wholepaper as well as put the limitations and prospect.