Research On Index System Of Biological Assets Accounting Information Disclosure Quality Assessment

As "agricultural enterprise accounting measures-biological assets and agricultural products" Promulgated in 2004, and "Enterprise Accounting Standards No.5-biological assets" Promulgated in 2006,the promulgation of biological assets recognition, measurement and reporting of the main form of guidelines are confirmed, since then, our biological assets recognition, measurement and reporting of standardized ways are specification than before. Although China has laws in biological asset disclosure, but most agricultural listed companies do not follow the biological assets accounting standards require disclosure of information processing of biological assets, Chinese Listed Company Information Disclosure Index report released in 2012 noted that animal husbandry and fishery is the level of information disclosure one of the worst three sectors (also includes integrated classes and wholesale and retail trade). In addition, agricultural listed companies to disclose information on the quality of the evaluation of biological assets and no specific criteria, the user can not judge the quality of information disclosure of accounting information of biological assets, which investors and other users of financial statements to bring great distress. Because of asymmetric information security market, the investor is at a disadvantage in information disclosure, corporate disclosure of information if untrue, complete, accurate, and it is likely to give users of financial statements to bring economic losses. Therefore, China’s agricultural listed companies to build biological assets accounting information disclosure quality evaluation index system is conducive to users of financial reports and analysis of the quality of accounting information to make the right economic decisions conducive to the development and improvement of China’s capital market.In this paper, the efficient market hypothesis, asymmetric information theory and game theory as the theoretical basis, the first listed company of China’s agricultural biological assets accounting information disclosure status quo analysis. Then, from the relevance, reliability, timeliness, understandability constructed four biological asset information disclosure quality evaluation index system, and empirical research 39 agricultural listed companies in 2012 periodic reports and other relevant information, found that China’s current agricultural biological assets accounting information of listed companies to disclose the quality pass rate of 43.6%, lower overall quality of disclosure, there is a big problem, especially the relevance and understandability of biological assets accounting information disclosure. Finally, the problems, we propose to strengthen the biological assets accounting information disclosure quality evaluation studies, strengthening regulation and supervision and social supervision, improve the listed company’s internal control systems and governance structure suggestions.