Research On Theory And Application Of Asset-liability View

A series of financial fraud cases on behalf of the notorious Enron scandal brought about the controversy pertaining to the setting of accounting standard. The SEC pointed out in a report that :"Asset-liability approach most appropriately anchors the standard setting process by providing the strongest conceptual mapping to the underlying economic reality", and appealed that the FASB should take the Asset-liability view as the guiding ideology of the accounting standard setting instead of the Revenue-expense View. As it can be seen from the development of the US GAAP and IFRS, the FASB and IASB are implementing the Asset-liability view in their standards setting resolutely.Due to influences imposed by various environmental factors, the prior focus of Chinese accounting standards laid particular stress on the income items and the ideology of accounting standard setting was inclined towards the Revenue-expense View. Many of the new accounting standards for business enterprises, by using the experiences of the US GAAP and IFRS, realized the convergence with the international usage. After the issue of new enterprise accounting standards system, the articles of discussing Asset-liability View become increasingly pronounced. But many of them analysis only Asset-liability View simply without of system research. Though, the research on theory and application of Asset-liability View is valuable.The outline of this paper is: Firstly, from the origin and the development course at home and abroad of Asset-liability View, analysis the characteristic of Asset-liability View in eight aspects systematically. Secondly, analysis the internal and external causes of the adopting of Asset-liability View in China. At last, explore the concrete application of Asset-liability View in new enterprise accounting standards, I have done detailed analysis explanation of basic standard and specific standards respectively, not only the account affairs carrying out the reality sum up a summary, but also the characteristics and positive influence of the application of Asset-liability View .The paper also analysis the obstacles existed in the process of the development of Asset-liability View and explore some key problems of the application of Asset-liability View existed in the latest income tax standard, assets impairment standard and fair value measurement attribute .Then, we give some suggestions in the perfection of the correlative standards, the full disclosure of financial information and the strengthening research of present value technique. The research value of this paper is:(1)Put forward the view that the financial accounting information of Asset-liability View is of true reflection.(2)Propose using anterior tax interest rate of the similar due date bond to discount the deferred income tax assets and the deferred income tax liabilities.