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The Research On Earnings Management Based On Associated Transactions Of Listed Companies

Posted on:2014-01-27Degree:MasterType:Thesis
Country:ChinaCandidate:Y Y LiuFull Text:PDF
GTID:2249330398953097Subject:Accounting
Abstract/Summary:PDF Full Text Request
In our country, related party transactions of listed companies’ earnings managementproblems appear as assets reorganization of the end of last century. This phenomenon isbecoming more and more spread and intensified. Related transactions refers to the transfer ofresources, services or obligations between related parties, in essence, the connectiontransaction is a neutral action, above reproach. However, with the intensification of marketcompetition and enterprise collectivization trend obviously, the trading relationship betweenenterprises in our country is becoming more and more complex and subtle. Initial related partytransactions is mainly used for saving transaction costs and reasonable tax avoidance, but inrecent years, the use of related party transactions has not just risk aversion but operating profitmanipulation and surplus management, whitewash financial statements, beautify the image ofthe company in the capital market. Our country securities market in the presence of largeamounts of earnings management behavior of listed companies, earnings management of listedcompanies commonly used method is the related party transactions. In essence, earningsmanagement is a kind of laws and regulations allow range to regulate the behavior of profits,but the use of related party transactions for profit manipulation is an extreme manifestation ofearnings management. Listed companies in our country are basically through assets appearingon the market, the group behind their relationship exists between the complexes. DB Companylisted is the typical representative of this type; it is a pharmaceutical company, involved in therelated party than other enterprises. So these papers choose the DB Company as an example tostudy of correlation in earnings management. In this paper, the problem of related partytransactions of listed companies’ earnings management research institute USES is the systemanalysis, combining the normative research and case analysis method. First of all, this articleon the basis of relevant theories of related parties and related party transactions should be therelated parties transactions will be available Suggestions were put forward. Second, theconnection transaction earnings management related theory on the basis of the definition andcharacteristics of the connection transaction earnings management, and further analysis of therelated transactions of listed companies earnings management motivation and methods. Again,by combining the DB Company in2009,2010,2011, three years of annual data on theconnection transaction earnings management issues are analyzed, the DB connectiontransaction earnings management issues that exist in the company is evaluated and recognition is proposed by using the method of related party transactions for earnings management.Finally, in the case analysis is proposed on the basis of the specifications related transactionsof listed companies of earnings management advice. But, due to the limited level, in this paper,the connection transaction earnings management case study due to related party transactionsand earnings management involves the contradiction between the diversity of main body andthe subjective and objective conditions, the influence of such factors as without eliminatingthe influence of normal affiliate transaction, the research is still relatively shallow, the study ofrelated party transactions of listed companies earnings management remains to be furtherin-depth.
Keywords/Search Tags:Related Transactions, Earnings Management, Listed Company, Suggestions, For Improvement
PDF Full Text Request
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