Acounting Standards Reform, Earnings Management And Auditing Opinion

About research on earnings management, both domestic and foreign scholars have made fruitful research results. In2006, the ministry of finance issued new accounting standards for enterprises, and required listed companies to implement since January1,2007. The issue of accounting standards has the milestone significance in the history of the development of our country accounting policy. The new accounting standards redefined some accounting elements and introduced new ideas and methods. In fact, the implementation of new accounting standards has a significant effect for listed companies or CPA. Research of this paper is based on accounting standards change background, which by comparing the change of earnings management level, the audit opinion to the earnings management, to research the effect of accounting standards change, whether the CPA can identify earnings management, and it’s ability has changed to identify earnings management.We deeply analysis the relationship of accounting standards reform, earnings management and auditing opinion in the way of combining normative research and empirical research.This paper is divided into five parts:In the first part, we illustrate the background, research contents and methods of this article, and make a brief review of the relevant literature review.In the second part, we detailed ananlysis the definitions and related concept of sccounting standars reform and earnings management,then line them in a innovative view and research the linkage dffect and influence of each other.In the third part, we propose three hypotheses.Based on all of China’s a-share market listed companies during2003-2006and2008-2012as research samples, we divided it into two samples on the basis of accounting standards change. In this paper, through the non-operating income accounted for the proportion of the total profits to measure earnings management level, we made some explore on the earnings management level between two groups of samples and whether CPA can identify the difference of the two groups of earnings management.In the fourth part, we list the reaearch results. It show that after the accounting standards change, there is a mildly drop in the level of earnings management. The CPA are able to identify the earnings management of listed companies whether the accounting standards change or not, which suggest that audit still have certain information to some extent. However, after the accounting standards change, the identify ability of CPA for the earnings management of listed companies have further improved.In the fifth part, we summarizes the full text, and make suggests from how to measure earnings management, further complete the accounting standards reform and improve auditing quality.This paper is investigated from a complete and new perspective to ananlysis the different screeming of earning management.In the same time, the sample data is cellected from a wider rang and longer time span, wich enable us to inspect the audior’s forensics of earnings management more macro and complete, and make a better analysis of the actual effect of Chinese accounting standards reform.