Research On Earnings Management Behavior Of Listed Companies In Science And Technology Innovation Board

The establishment of science and technology innovation board is a great leap forward in the development of China’s capitalist market,and the registration system piloted in this sector has been fully implemented in China’s stock market.Under this system background,regulators and investors pay more attention to the authenticity and standardization of enterprise information disclosure.Judging from the existing research situation,the research on earnings management in China is not long,and the selected research samples are mostly concentrated on the main board,small and medium-sized board and growth enterprise market,which has certain limitations.High-tech enterprises listed in science and technology innovation board have the characteristics of large front-end investment,long return period and high risk.In addition,although the profitability requirements of enterprises listed in science and technology innovation board are lower,their profitability requirements are relatively higher than those of the main board,requiring enterprises to have core technologies and independent intellectual property rights,and at the same time,they have strong growth and market prospects.In order to meet the relevant requirements,earnings management is also common in enterprises in science and technology innovation board,and the differences in the types of listed enterprises and profit requirements lead to the differences in earnings management motives and methods adopted by enterprises in science and technology innovation board.As the first batch of enterprises that landed in science and technology innovation board,Arc Soft Technology is an algorithm service provider and solution provider in the computer vision industry,and also a leading representative in this industry in China.Through the exploration of earnings management behavior of Arc Soft Technology,it is helpful for the regulatory authorities and accounting firms to prevent and find out in time,to identify the earnings management behavior of enterprises artificially regulating profits more effectively,and to purify the securities market and maintain investors’ investment confidence in enterprises.Based on the statistical analysis of data and real case studies,this paper starts from the motivation of earnings management,and makes a deep analysis from the perspectives of Arc Soft’s manipulative accrued profit analysis and earnings management methods in terms of expenses.The analysis shows that there are indeed earnings management behaviors before and after the listing of Arc Soft Technology.In terms of earnings management motivation,this paper analyzes it from the perspectives of obtaining higher issue price,maintaining investor confidence and executive compensation incentives.Then,this paper uses Jones model and modified Jones model to measure the controllable accrued profit of Arc Soft Technology,and takes the average value of the controllable accrued profit of software and information technology service industry as a reference to measure the degree of earnings management of Arc Soft Technology.On this basis,this paper analyzes and summarizes the specific earnings management methods of Arc Soft Technology from the perspectives of expenses,government subsidies and investment income,and analyzes the differences of earnings management between science and technology innovation board software enterprises and main board software enterprises.Then,this paper explores the subsequent impact of earnings management by Arc Soft Technology,mainly from the perspectives of anti-risk ability,stock price and sustainable development.Finally,this paper puts forward some micro and macro suggestions from the aspects of enterprise’s own asset management,perfecting legal system and strengthening supervision by relevant departments.This paper combines theory with case companies.On the one hand,it has certain reference significance for the same type of companies,and at the same time,it also has reference function for broadening the identification method of earnings management.On the other hand,this paper also puts forward some measures to deal with earnings management,and provides reasonable suggestions and reference for regulators in modifying or formulating corresponding regulations.