The Research Of Fair Value Application Of Investment Property

The financial crisis in 2008 led to the heated debate on the fair value of the accounting profession and the financial community. Because of the rising of China's real estate prices, many companies invest idle funds in real estate. The measurement model of investment real estate is becoming an important topic. I think that China's real estate market is not perfect now. Recently, many enterprises may not to adopt the fair value measurement of investment property. After a period of time, China's economic environment will be more stable and the real estate market will continue to improve, so that there will be more and more enterprises to adopt fair value measurement model for subsequent measurement of investment property. Given this trend, I have collected the data of some representative samples of the listed company's annual report since the implementation of new accounting standards. From the data, I have got the situation and some existing problems, such as the imperfect of tax policy, the unpredictability of the follow-up value-added of real estate. For these problems, in the future-oriented society, our country should follow the requirements of the concept useful for decision-making and take such strong measures to solve the problems. We should expand the scope of fair value in the investment real estate and gradually achieve international convergence, in order to provide reliable information on the fair value to the users of financial statements and other relevant stakeholders.China has promulgated the "Accounting Standards for Enterprises investment real estate 3" on February 15,2006. I start from the concept and the development of the fair value of investment property and the domestic and foreign accounting comparison criteria, and have analyzed the main problems existing in the process. On how to further improve our investment real estate problems in the fair value measurement, I have obtained my own view. From the latest annual reports of listed companies in 2009 data, I believe that our country should build active real estate market and improve the relevant information to obtain a reasonable market price; enhance the status of fair value measurement model and develop the fair value measurement criteria to ensure the reliability of data; improve the tax system and build a clear tax policy; establish a audit system to guide and regulate the real estate professional assessment of rating agencies; to make the information disclosure of investment property more standardized; to improve the accounting profession to determine and strengthen professional ethics to prevent accounting fraud; to distribute the profits and performance evaluation reasonable. We should expand the use scope of fair value in the investment property...