Research On Accounting Treatment Of Plant Biological Assets

Entering a new era,China's economic growth mode has changed from the original high growth to a high-quality growth model.The concept of ‘Green Economy' has risen to the national strategic level.Building a beautiful China and restoring green mountains and green mountains has become the direction of current enterprise development.At the same time,in the face of supply-side reforms,many companies have actively invested in upstream industries and established raw material bases.As a result,the proportion of biological assets in assets held by enterprises has gradually increased.Biological assets are important production materials for enterprises.Because biological assets have the characteristics of biotransformation and natural value-added,their accounting confirmation and classification,accounting measurement and accounting information disclosure processes are more special and complex than ordinary assets.The accounting treatment of biological assets not only covers the traditional agriculture,forestry,animal husbandry and fishery,but also various enterprises such as manufacturing,environmental protection engineering,and bio-pharmaceutical industries have confirmed the biological assets.The rapid development of these industries places higher demands on the accounting treatment of biological assets.At present,there are more and more contradictions between the provisions of the ‘Accounting Standards for Business Enterprises No.5-Biological Assets' and the dynamic changes in the characteristics of biological assets,and the problems in the specific accounting treatment are becoming more and more obvious.The current research on biological assets at home and abroad is mostly focused on the overall scope of biological assets,or on specific biological assets such as agriculture and forestry.Therefore,based on the new perspective of plant biological assets,based on the relevant research of domestic and foreign scholars,this article summarizes and analyzes the accounting information of selected representative sample companies,and summarizes the current vegetative nature of China.Biological assets are defined as ‘living animals and plants',which is the source of the plant biological assets studied in this paper.The bio-transformation,life cycle,external profitability,and vulnerability to geographical differences of plant biological assets make its accounting treatment different from that of general assets.Based on the characteristics of the plant biological assets,this paper conducts in-depth analysis of the accounting confirmation and classification,accounting measurement and accounting information disclosure problems.This article selected 55 listed companies across forestry and planting industries,bio-pharmaceuticals,and other industries as sample companies.Through the collection and statistics of relevant contents of its 2016 annual corporate report,we summarized China's current plant biological assets.The common problems in accounting treatment include the unclear classification of multipurpose plant biological assets,the lack of classification of the maturity of plant biological assets,the lack of attention to public welfare biological assets,and the inability to accurately reflect the selection of current measurement models.The natural appreciation of plant biological assets,the depreciation policy of plant biological assets do not meet the principle of matching,the impairment of plant biological assets is difficult to truly reflect,the regulations on the disclosure of accounting information on plant biological assets need to be improved,and companies are concerned with the criteria.The implementation of the regulations is not in place.In response to the above issues,this paper gives the following recommendations: clarify the classification criteria of different biological assets of plants,further classify the maturity of plant biological assets,refine the rules and regulations to promote the use of fair value measurement attributes,and improve the depreciation of biological assets of plants The relevant regulations,the strengthening of the norms for the devaluation of plant biological assets,encourage enterprises to establish the identification of public welfare biological assets,increase the disclosure of the accounting information of plant biological assets,and establish a standardized information disclosure system.