The Introduction Of The International Standard Of Revenue From Contracts With Customers And The Study Of Its Influence On Chinese Enterprises

Revenue recognition is an important part of international accounting standards. But there is no uniform guidance for it in different industries and market entities. There are so many revenue recognition standards for different business activities, but they are not clear for the accounting practical operations. As the accounting standard-setters, FASB and IASB are trying to improve this situation. In 2002, they created a jointed project and have achieved many periodical results from then. In 2014, they released IFRS15, which bring new solutions for lots of complex revenue recognition problems in new market condition.This could improve the transparency of financial statements, strengthen the comparability of financial statements between one domestic enterprise with other domestic or international enterprise and improve the international competitiveness of domestic capital market. Meanwhile, the introduction of new revenue recognition will certainly bring new challenges to accounting entities of different industries in our country. So the domestic enterprises must predict the possible effects and be well prepared from a proper perspective.In order to solve these problems, this paper discusses the principal differences between the current accounting standards and new accounting standards- IFRS15. Based on these differences, this paper analyses the possible changes of financial information, and investing policy and management decisions that the accounting entities may make. Our research shows that the new revenue recognition model that IFRS15 takes may have great influence on the financial information such as revenue, liability and assets. The new model may even affect the strategy of one enterprise. As a consequence, enterprises need to make the decision programming on time. Meanwhile the government also needs to formulate the relational operation standards.