Conceptual Framework For Financial Accounting

The research of the Conceptual Framework for Financial Accounting (CF) dates backs to the early 20th century. Recently with the demands of high quality accounting standards and the trend of adopting the principle-based standards and the tendency of accounting international harmonization, the research on it has attracted more and more attention. The first and one of the most important questions concerned with the research of CF is how to deal with the relationship between international harmonization and Chinese features.This paper is discussed the relationship between the accounting environment and CF based on the analysis of accounting environment. Taking the special accounting environment in China into consideration, this thesis suggests that the convergence of CF should be divided into two steps. The first steps is to build up a CF with Chinese characters according to China's situtaton. The second step is to converge into same CF.This thesis can be divided into six parts. The first part analyzes the meaning of researching on Chinese featured CF. the second part mainly studies on the effects of environment and compares the Chinese environment with American one. Based on the analysis of accounting environment, the third part to the five part discusse the special characters that current CF should have. The third part discusses on the special characteristics of status and the formulating procedure. The fourth part discusses the logical starting point of CF and its content. The fifth part researches on the construction and the elements of Conceptual Framework for Financial Accounting in China, including the Chinese characters of objectives of financial reporting, the information qualities, the hypothesis of accounting, the accounting elements and the recognition. And the sixth part discussed when and how to converge into the same CF.By using normative mythology and based on analysis of environment, the paper intends to provide some constructive advises for constructing CF in China.