Research On The Influence Of Accounting Conservatism On The Financing Cost Of Listed Companies

Accounting conservatism has a long and significant impact on the accounting theory and practice.Many researches have been done about accounting conservation and they mainly focus on existence,reason and measurement method.However,the scholars in China are restricted to the reason and existence of accounting conservatism.Based on current Chinese enterprise financing situation,the capital market of our country and legal system is not perfect,especially after the financial crisis and deterioration of business environment,the creditors and shareholders are facing the great investment risk.The choice of accounting policy in the enterprise affects the financial statement data.The choice of accounting policy in the enterprise can affect its financing cost and it can also affect the financial statement data and decisions of investor on production management such as efficiency,solvency and profitability,if not more.Therefore,this article use cases analyses to find what kinds result on financing cost of China's A share listed companies by absorb accounting conservatism theory.It summarizes the research conclusions and puts forward the suggestions according to the theoretical and empirical analysis.Econometric software SPSS for data processing,the main use of descriptive statistics analysis,multiple linear regression analysis of econometric method to our country public company accounting conservatism and empirical analysis and inspection of the correlation between the cost of financing.Tries to discuss the existence of our country public company accounting conservatism,and whether the impact on the cost of financing.Hopefully,it can provide empirical evidence for further research on accounting conservatism and help Chinese enterprise to choose proper accounting policies and accounting standards.The article is divided into seven parts.The first part reviews the related theories and research of scholars at home and abroad for accounting conservatism,The second part defines the concept of accounting conservatism and financing cost,and from the contract theory,the signal transmission theory and principal-agent theory summarizes the theoretical basis of accounting conservatism;The third part analyzes the other influencing factors of the financing cost of listed companies,and provides reference for the control variables of the subsequent selection.The fourth part puts forward the four research hypotheses.The fifth part is divided into study design,namely variable selection,measurement;The sixth part is the empirical analysis results,and analyzes the impact of robustness on the cost of debt financing and the cost of equity financing and the impact of accounting conservatism on the financing cost of different companies.The seventh part is research conclusions and policy recommendations.