The Empirical Research On Voluntary Accounting Choice Of Listed Company Of Steel Industry In China

In order to manifest the company benefit and realize correlationgoal, listed companies continuously cast about to manipulate profit and sugar up the financial statements taking each kind of measures. In recent years, after making use of affiliated transactions and debtrestructuring is restricted,accounting estimate-one newer method of profit adjustment is used by more and more listed companies. Because accounting estimate is enterprise's judgement on transactions or matters which results are uncertain based the recent information available, so the measure and modifying of accounting estimatehave a lot of subjectivity; also the outside personnel with asymmetric information about the company situations, cannot well supervising the rationality of accounting estimate made by listed companies. Therefore,accounting estimate gradually become china's listed companies manipulation tool.For these reasons,this paper using the theoretical analysis and the empirical analysis,to do some researchs on the features of accounting estimates changes in China's steel industy listed companies.At first, concepts of the accounting policy and accounting policy choice that this paper studied has been defined. Then the paper introduces a kinds of theories about acounting policies choices, for instance, Contract Theory and Rent-seeking theory .Combining the characteristics of China's listed companies,some motives of accounting choice are concluded. Then realizing the development of China's steel industry with the methods of description and analysis,and knowing the China's steel industries development cycle patterns. In order to illustrate the relationship between the steel industry cycle fluctuation and profit regulations,in this paper we use Jones model to analyse this kind of relationship. According to the steel industy companies'financial report from1998 to 2008,we analyse this relation from some aspects,such as the year of the changes,the reasons why they are changed and how much profit they can controled. At last,this paper give some recommendations to help steel industry listed companies to develop in a better and bright way.