Prevention Of Earings Mangement And Related Party Rtansactions In Listed Firms

In China,along with the development of the capital market,the connection transaction with multinational companies and the mother of the company is widely used and produce.Associated business has its two sides is,therefore,it can make for the listed company to reduce transaction costs and to realize the resource configuration of effective,and can give a listed company used association trade to control income,change statements,use of asymmetric information,making unfavorable investors,creditors and other stakeholders of earnings management behavior.So,to regulate the connected transactions of the listed companies in China,ensure the reasonable and legitimate to ensure the interests of the listed company to provide real and effective stakeholders information.So of the listed company,the connection transaction the research is of profound significance.As the securities market has been developed in our country over 20 years,the related standard were in continuous modification and improvement,make the defined of related parties?related party relationship and related party transactions for related party transactions more clearly.Regulations on related party transactions has also been further improved,such as the pricing mechanism of the related party transaction and the information disclosure of the related transactions and so on.But compared with the more mature system of related party transactions in the Western developed countries,stock market regulation of related party transactions of earnings management reflects many imperfections in our country.Therefore,to our country about the related party transaction the legal system and related specifications should have to improve place.Based on the system arrangement of domestic and foreign scholars associated business and the influence of earnings management on the basis of study,the connection transaction and earnings management literature was summarized,and the connection transaction and the influence of earnings management theory and data analysis.Based on the 2007 to 2010 Shenzhen and shanghai two city A shares of the listed company of data as samples,Analysis and summary related party transactions of earnings management,looking for the most of earning management of related party transaction with Chinese characteristics,and through the various aspects of related party transactions of earnings management to make the analysis and summary,proposed preventive countermeasures of listed companies associated with the trade surplus management issues.The results show that:the industrial enterprises in the proportion of related party transactions are relatively large,listed companies often to do the buyers of the related party transactions,provide or accept guarantees is main in the forms of a variety of related party transactions;According to the present theory and the current status of related party transactions surplus problem analysis and suggestions for improvement,various legislation and internal governance structure of listed companies and earnings management.