The Research Of International Convergence Of China Accounting Standards By 2014

With the global economic integration, accounting standards is conver ging in the worldwide. As China's international status increasing, more a nd more companies need to go abroad, which requires our accounting sta ndards to be better adapted to the latest international environment. In 2014, the Ministry of Finance has released eight new or revised corporate ac counting standards. The purpose of these new guidelines issued to meet t he needs of the domestic economic situation, but also to continue the con vergence with the IFRS.After the literature review of the international convergence of accoun ting standards, and the interpretation of employee compensation guidelin es and long-term equity investments guidelines which have a greater imp act on the business, this paper analyze the impact of the new guidelines o n corporate financial reporting with the differences between the listed co mpany G's Chinese GAAP statements and IFRS statements in 2013 and2014. This paper is trying to answer the question through research and a nalysis that whether the release and revise of the new accounting standards in 2014 makes Chinese Accounting Standards more converging with t he International Financial Reporting Standards.The results show that: After the new guidelines issued in 2014, the di fferences between the financial information in financial statements which prepared in accordance with Chinese standards or International Financia l Reporting Standards has increased, and the quality of accounting infor mation has improved. The revise of Employee compensation guidelines a nd long-term equity investments guidelines have a greater impact on the business results and financial decisions. The G Company in this paper is not completely in accordance with the new Standards for Employee com pensation guidelines, which is leading to limited convergence under G Company's two reports according to different standards. The process of t he convergence of Chinese accounting standards will continue, and will c ontinue for quite a long time.