Research On Real Earnings Management Under Non-Recurring Gains And Losses

The financial report of a listed company is of great significance to both internal and external users.In order to make financial indicators more attractive to investors in financial reporting,companies often use earnings management to beautify financial data.Many companies with consecutive losses,especially those like *ST,will receive delisting penalties if they continue to lose money.In order to avoid such a situation,it is more inclined to use non-recurring profit and loss items within the scope of accounting policies.Make adjustments and even turn losses into profits.Such economic activities are sporadic and different,easy to operate and difficult to find,and seem reasonable on the report.Only through data analysis and comparison will the difference be found.Through the research of innovative medical companies as an example,the motivation,performance and impact of real earnings management under the non-recurring profit and loss system are more comprehensively considered and analyzed,which helps investors make correct investment decisions and regulate similar The management of the company optimizes the quality of accounting information in the capital market and proposes effective countermeasures for narrowing the institutional space.After reading and studying the literature of relevant domestic and foreign scholars,the paper focuses on the analysis of non-recurring profit and loss project activities of innovative medical companies to study the performance of real earnings management.Firstly,it introduces the background and difference between real earnings management and earnings management,as well as three specific methods and characteristics of real earnings management,the institutional background and characteristics of non-recurring gains and losses.Secondly,through the case analysis of innovative medical companies,After a brief introduction to the background of the company,we will start with a list of non-recurring profit and loss items,analyze whether there is operational space,compare the company's relevant financial statement data for the past five years,and find that the innovative medical company is facing a critical period of delisting risk.Conducted a series of earnings management methods under non-recurring gains and losses to help innovative medical companies turn around in 2016 and analyze the economic performance after earnings management.Next,this paper analyzes the real surplus of innovative medical companies under non-recurring gains and losses.The motives and reasons for management are analyzed from the inadequacy of internal control of the enterprise to the imperfection of the external market system policy.Finally,the corresponding problems are identified for the problems found in the case,the motivations for the impact and the consequences.