Correlation Study On The Infrequent Earnings Items With Earnings Management,Auditors' Opinion

Non-recurring gains and losses is an important stock market's earnings disclosure indicator, it has a significant impact on the financial performance of listed companies. However, due to non-recurring gains and losses has the characteristics of a one-time, users of financial statements can not gain the correct perception of listed companies financial performance through the use of non-recurring items. Stakeholders generally treat profit as an important indicator of the level of profitability and viability of the enterprise, because of non-recurring gains and losses related to the project on the company's net profit, we must valuate the value of the company which excluding non-recurring items of the company's net profit. Therefore, the study of non-recurring gains and losses as well as to affect the way the impact on the net profit of the majority of investors to properly assess the ability of sustained profitability of listed companies and rational decision-making is of great significance. At the same time, external and independent audit of listed companies to identify whether the use of non-recurring gains and earnings management behavior and issue proper audit report also has important research value.By combining the 2011- 2014 data of all A-share companies conduct systematic researching on chinese listed companies of non-recurring items.At first we use standard research methods, review of domestic and foreign non-recurring gains and losses and earnings management, audit opinions. Then put forward theoretical analysis and research hypothesis. Then we start to analysis of current situation of non-recurring items of all A-share listed companies, we also explore small profit company and ST companies, whether these company has more incorrect behaviors. Simultaneous analysis of the listed company's non-recurring gains and losses of specific projects. On the basis of non-recurring gains and specific projects on the analysis of the sample, select the appropriate model to study non-recurring items and earnings management, audit opinions related to relations. Studies have shown that, for a listed company as a whole, the presence of non-recurring gains and losses did not make the overall performance quality of listed companies lower, futhermore, we can see that the listed companies, especially ST companies use non-recurring gains and losses "turnaround" phenomenon still exists, but External auditors audit can identify earnings management behavior of enterprises. Finally, a number of recommendations for improvement with reference to the nature of the relevant provisions of the above studies, which can provide better financial information for the users of financial statements to help them make right decisions.