Research On Accounting For Circular Economy

It is very important to recognize the differences between the circular economy and the traditional economy for it is a prior condition of whether or not to set up the Accounting for Circular Economy. So it is the logic point of this research paper. First, in Chapter 1, the research involves discovering the persuasive evidence that shows the differences between the circular economy and the traditional economy, finding out the role the accountancy plays in circular economy, and discussing the function the environmental accounting plays in circular economy. It should be admitted that the research at this stage covers a wide range of problems so focusing on the above three objectives is vital.Second, after finding out the persuasive evidences about the above three researches, Chapter 2 then proceeds to discuss the foundation theories frame that the Accounting for Circular Economy is based on, including the concepts, aims, fundamental principles, objectives of it, and also including comparing it with the traditional accounting.Third, after setting up the foundation theories frame of the Accounting for Circular Economy, Chapter 3 goes on to discuss the accounting scope of the Accounting for Circular Economy, then enquires into the effect of reduction of the nature resources usage on business enterprise's financial standing and operating results under the condition of circular economy, and designs 10 accounts of assets, liabilities and equity.Fourth, Chapter 4 discusses basic theories and main contents of the disclosure of its information from user's (or latent user's) angle of view. This is very important because there are no persons who put forward to the concept of the Accounting for Circular Economy so far, letting alone to set up this course. Under the circumstance, only there is a close and combinative actuality to the objective need of the Accounting for Circular Economy, may just make this research a positive contribution to the development of circular economy of our country. This is very important also because it is between the building of the foundation theories frame of the Accounting for Circular Economy and the discussion of specific problems of it, and also because it can draw attention of many researchers and their interests to persuade them to study this subject. These are the reasons why Chapter 4 discusses the basic theories and main contents of the disclosure of information of the Accounting for Circular Economy. Fifth, having described the theories which can support the disclosure of information of the Accounting for Circular Economy, Chapter 5 discusses how to help the users of the information to read it conveniently and reasonably, which is the main research topic at this stage of research, and in which the characteristics of the main mode and the quality of the information are discussed. Then it further investigates how the accounting information of circular economy becomes a system, which is a fundamental topic of accountancy as a course.Finally, having built the information system for the Accounting for Circular Economy, Chapter 6 inquiries into the guarantee which is necessary for the circular economy being put into practice, and which namely includes our government and its departments that have the power to promote the circular economy, then discusses the international coordination of the Accounting for Circular Economy. See from the history of accountancy's development, it shows that it is the objective demand that causes the emergence of accountancy and its branches. So if a country builds the circular economy, there must be a demand for the Accounting for Circular Economy. Now many countries in the world are building the circular economy, and there will be the necessity for cooperation and exchanges, which will promote the development of the Accounting for Circular Economy.Furthermore, the paper does not discuss those special topics of the Accounting for Circular Economy. This is because the precondition for discussion is absent, which will make the research meaningless, because it is more important now to set up the framework of the Accounting for Circular Economy than to discuss the special topics of it, so as to draw other scholar's attention to build the Accounting for Circular Economy together, and because it is more practical to focus on the foundation theories frame that the Accounting for Circular Economy is based on, including the concepts, the foundation theories, objectives, aims, fundamental principles of it, and also because the writer of this paper considers those special topics of the Accounting for Circular Economy as something for the follow-up study.