Research On The Recognition And Disclosure Of Accounting For Circular Economy

Since the 20th century, the developed countries have entered into the industrial society. the global environmental pollution, resource shortage are becoming more and more worsen: tropical rain forests being seriously damaged, land desertification, water shortages, extinction of plant and animal species, worldwide acid rain, greenhouse effect and ozone hole. Global warming accelerates the melting rate of glaciers, which brings the extinction crisis to the coastal country. On 24th March of 2010, the island at the Bay of Bengal completely disappeared from view because of the sea level rising. In 2010, most areas in Southwest China have less rainfall, almost crops are destroyed for the severe drought. Until April 2010, the drought is still continuing. If the people continue mining, more and more natural resources will vanish. Circular economy is an effective way to achieve global sustainable development. In recent years, many scholars began to concern the circular economy accounting which establish circular economy accounting system to reflect the company's information about resource and environmental usage.This paper reseachs the information disclosure mode of circular economy accounting from the perspective of identification. The paper divides elements of the circular economy into circular economy assets, circular economy liabilities, circular economy cost, circular income, circular economy earning and states the identificating, characteristics, classification of the circular economy. At last ,the paper establishs the statements and accounting reports. We hope to urge enterprises to improve resource utilization, reduce environmental pollution and maintaining ecological balance through the establishment of accounting system of circular economy.