| With the continuous development of the accounting standards system,fair value measurement has been widely used,and its reliability has been brought into sharper focus.In such a case,Asset Appraisal plays an important role in accurately and reasonably determining fair value and better guarantee the quality of accounting information.The number of disclosures in asset appraisal reports of listed companies in China is becoming increasingly over recent years.Among them,the number of related-party transaction evaluation items is more often than not,and quite possibly occur in inactive market environments.Due to the self-interested motives of both parties in the transaction,the frequent use of related transactions has gradually exceeded the scope of only meeting the normal development needs of enterprises,and there are situations in which some companies seek benefits under the banner of related transactions.The potential earnings management motivation of related party transactions is one of the important factors that affect the quality of asset evaluation.Listed companies may influence the value evaluation results based on motivations such as reducing financing constraints,raising funds,meager profits,and avoiding continuous losses from being delisted.At the same time,asset appraisal activities take into account the intermediary and paid nature,involving the interests of both supply and demand.The appraisal report is regarded as the final result of the market competition game,and the reputation of appraisal institutions may also have an impact on the quality of appraisal.Absolutely active markets are relatively rare in practice.There are problems such as principal-agent relationship and information asymmetry.Asset valuation,which already involves many judgments and choices,will face additional foreseeable risks and uncertainties that are difficult to measure in an inactive market environment,it may provide management can take advantage of,increase the chance of earnings management for listed companies.As for mentioned above,this paper defines the relevant core concepts,combs the basic theories,and uses empirical research methods to analyze the potential earnings management motivations in related transactions of listed companies,the relationship between the comprehensive reputation of third-party asset appraisers and the quality of asset appraisal,and further consider the impact of the market environment.On the basis of previous research,select the connected transaction data of established assets that were publicly disclosed by China’s A-share listed companies between 2013 and 2017 as the object of this paper,and analyze the difference between the estimated and actual earnings of the assessed assets within 3 years after the assessment base date.Through sample status analysis and multiple regression empirical analysis,the following research conclusions are mainly drawn:(1)In related transactions,the potential motivation of listed companies is negatively related to the quality of asset evaluation,which further illustrates that if listed companies have raised funds,return brand to growth as their motives,it may take a lower quality of Asset Appraisal.(2)In related transactions of listed companies,the reputation of asset appraisal institutions is positively correlated with the quality of asset appraisal.(3)In such an inactive market,the inherent earnings management motivation of listed companies in related transactions has a more significant negative impact on the evaluation quality.(4)In an inactive market,topranked Asset Appraisal institutions with high reputation can still guarantee the quality of asset appraisal.Finally,based on the above researches,for the sake of promoting the sound development of China’s relevant regulatory system,corporate management,and evaluation industry,this article put forward rational advices for the problems found in the research from the four levels of listed companies,evaluation agencies and evaluators,market environment,and industry supervision. |
PDF Full Text Request