Research On Accounting Policy Changes And Earnings Management Of Listed Companies

In the background of integration of the world economy and the rapid development of knowledge economy, operating environment and market competition are more and more complicated. In order to win, maintain company interests and realize relevant target, listed companies will use every opportunity and take various measures to manage earnings. In recent years, debt restructuring, associated trade and so on, which have been often used to manage earnings, are restricted. Many listed companies switched their attention to the aspects of accounting policy, namely the accounting policy changes. Browsing the annals of listed companies, we can find that the reasons of the listed companies'disclosure of accounting policy changes are mostly "Based on the requiring of laws or accounting standards", "Based on the economic environment changes", "Based on the situation changes on economic business itself", "In order to improve the quality of the information" and so on. But these reasons are great subjectivity, because they are difficult to quantitatively judge and be directly confirmed from the result. And because of information's asymmetry, it is hard for us to evaluate the rationality of accounting policy changes.Based on the existing problems of accounting policy changes, referencing domestic and foreign research achievements of earnings management about accounting policy changes, with the contract theory, rent-seeking theories, selective false financial disclosure hypothesis and economic consequences theory as the theoretical basis, it introduces the earnings management motivation of the listed companies and the method of accounting policy changes we can use for earnings management and analyses the reasons of the existence of earnings management. On this basis, following the scientific and practical combined principle, comprehensiveness and importance combined principle, qualitative factors and quantitative factors combined principle, we establish hypothesis and construct the empirical model. Taking A-share listed companies which have made accounting policy changes in 2007-2009 as a sample. Define and matching it. We conducted univariate analysis and multivariate analysis for each affecting factor of income smoothing, huge sterilisation and policy putting tempted by using the model above. Finally we got the following conclusion:(1) income smoothing and political cost, charge restrictions and compensation contract are positive correlation with showing profit increasing features.(2) huge write-off and directors alteration ratio are positive correlation, huge write-off and political cost are negative correlation, the state promoting the new accounting standard or policy and huge write-off are positive correlation when it is univariate analysis, the state promoting the new accounting standards or policy and huge write-off are negative correlation when it is multivariate analysis.(3)policy traping increase and compensation contract, accounting firm scale are positive correlation; policy traping increase and political cost, debt contract are negative correlation.According to the conclusion of empirical research, China's current economic backgrounds and capital market system, it gives suggestions on how to regulate the listed companies'abuse of accounting policies change to manage earnings. Our purposes are to provide theoretical and practical support and policy recommendations for the super vision of Chinese securities market.