Earnings Management Research, The Implementation Of The New Guidelines

A system of new corporate accounting standards has been implemented in listed companies since January 1,2007. Compared to the previous two accounting reform (1993 accounting reform - a promulgation of two systems and standards, 2000 accounting reform -- a promulgation of corporate accounting regulation), the market economy environment in a new round reform, the basis of practice which the accounting standards is formulated by theoretical basis and the specific accounting practicing have a greater change. And there is the relatively long interval of time on release of the new guidelines and practical implementation account of larger changes of the new CAS, and the first batch of listed companies is enterprises of implementation of the new CAS, therefore, it is of great practical significance on research of the earnings management in listed companies after implementation of new CAS.In this paper, there is analysis of impact of listed companies report on changes regarding the implementation of new CAS. Although the implementation of new accounting standards will not change the essence of performance of listed companies, the statements of listed companies will have a greater impact on performance. New CAS, to a certain extent, can effectively control the manipulation of profit of listed companies, offset some of the original criteria for the defects and loopholes, it is not perfect, because there are facing certain difficulties in the true implementation, it might even become new tools which part of listed companies manipulated Profits by.Listed Companies with relieving banned-exchange shares adopt earning management through not only accruals but also projects. The sum on earning management of accruals and projects is the number and extent of whole earning management. The result of testing data support assumption 1: there is much more earning management in listed Companies with relieving of banned-exchange shares. Via testing data of listed Companies with relieving of banned-exchange shares according to report of 2006 and 2007, the testing result of earning management presents significance in the listed companies with proportion of over or equal 10% of relieving banned-exchange shares. The sample of earning management over the proportion of relieving banned-exchange shares support assumption 2: high proportion relieving banned-exchange shares of listed companies displays much high extent of earning management. But the assumption 2 is not supported in the testing of accrued profit of listed companies with reports of 2006 and 2007.In the reports of 2006, it is showed from January to May of 2007 that listed companies which accrued profit is positive adopt earning management via recovery of provision for loss. After implementation of CAS on 1st January 2007, drawing and recovery of provision for loss and recovery are still main methods of earning management. Listed companies which accrued profit is positive from January to May of 2008 adopt earning management via using provision for loss in 2007.