Research On Accounting Information Quality Under The Mode Of Commission Operation In Joint Venture Railway Companies

So far, constructing railway by joint venture has became the main way of railway construction in China, including all the new projects and some of expansion projects in specific line, intercity railway and regional channels. According with the relevant requirement of the Ministry of Railways, all the new joint venture companies are founded by commission management. As the wide application of commission management in joint venture companies, its effect on accounting information also attracts attention.As the specific analysis part of<Improving the Quality of Accounting Information> by Science and Technology Department of Railway Ministry, this paper in charge of the accounting information quality in the mode of commission management.Based on the operation character of the Joint Venture Railway Company and specific requirements of its accounting information user to the information quality, this paper arranges the accounting information formation process of the Joint Venture Railway Company under commission operation model. Furthermore, the paper diagnoses the following factors which affect the accounting information quality of the Joint Venture Railway Company: unspecified related party transaction, defective regulatory mechanism and ambiguous financial system.Due to the above three factors, this paper suggests two ways to optimize the accounting information quality of the Joint Venture Railway Company, inside and outside the company. From the internal point of view, it is recommended that the company should introduce incentive mechanism, balancing the allocation of benefits between the Railroad Bureau and the Joint Venture Railway Company, introduce independent supervisor mechanism, activating the oversight function of the Board, and introduce the ERP mechanism, enhancing the accounting information level of the railway enterprises. From the outside point of view, it is recommended that the Joint Venture Railway Company should improve the financial management mechanism timely, specify the related party transaction between Railway Bureau and the Joint Venture Railway Company, and transfer the functions of government to be independent and scientific.