Empirical Study Of Factors Affecting The Comparability Of Accounting Information

Comparability of accounting information accounting information is an important part of the quality characteristics. However, because the measurement is difficult, accounting information on the comparability of studies mostly focused on normative research, empirical studies are more concentrated in foreign countries. Based on China’s national conditions and experience to the company level has not yet been found for the perspective. It was in this context of trying to Chinese listed companies accounting information comparability theoretical analysis and empirical test.This paper reviews and analyzes the comparability accounting information and the factors that can I influence the accounting information fromthe domestic and foreign literature review.Moreover. analyzing the accounting information comparability of external and internal factors that affect the comparability of accounting information on a more systematic theoretical analysis and put forward the empirical research hypothesis. The whole points based on the principal-agent theory, asymmetric information theory, the theoretical basis of the theory of corporate governance, accounting information quality evaluation theory, etc.. expending on the theoretical analyze, selecting Shanghai and Shenzhen A-share9370companies in the period2004-2013as the research target. De Franco, Kothari and Verdi (2011) econometric model was used to measure the comparability of the company level comparability of financial reporting. In the study, the influence of external factors are mainly divided into audit quality, monopolies, government intervention in the legal environment and factors affecting the comparability of accounting information, in addition, the audit quality into whether to use the country’s top ten accounting firm and whether to replace accounting and auditing firm. On the other hand. Internal environment analyze its impact on the comparability of accounting information divide into about4factors:divisions, equity company (owned by the largest shareholders in proportion to the ratio of the second and the fifth largest shareholding and whether state-owned holding, the proportion of actual control shareholding composition), senior (by two Whether one post, whether to change to represent senior executives)and composition of the Audit Committee of the factors. The study found that the industry monopoly, companies were ST. whether to use the top ten accounting firms all have produced a negative impact on the comparability of accounting information. While accounting information ownership concentration would indeed bring negative impact comparability. The second to the fifth largest shareholders did not play the appropriate checks and balances, but the independent directors would indeed have positive impact the comparability of accounting information. Finally, based on empirical results, are proposed to establish and improve investor protection laws, institutional environment, improve the external governance mechanism, improve board system, optimizing the equity structure to improve the quality of accounting information policy recommendations.