Effects Of Private And Corporate Governance Of Earnings Management

In recent years, private economy has developed rapidly in our country, the private economy accounted for the proportion of gross domestic product (GDP) rises year by year, private economy has become an important part of socialist market economy. At the same time, however, in the rapid development of private economy, the problems existing in the governance structure began to highlight, this will greatly hinder the healthy development of private economy. In view of the private enterprises in our country is still under development, the private listed companies is not standard accounting behavior brought to the attention of the relevant management agencies, especially how to through the governance mechanisms regulating the behavior of the private listed companies accounting theoretical and practical circles has become a common problem. This paper analyzes the corporate governance structure of private enterprises related indicators whether there was a significant effect on earnings management behavior, the results of the study can provide relevant regulatory authorities and policy makers with empirical evidence, in a more scientific policies to regulate private enterprise accounting behavior, which is beneficial to our country privately operated enterprise faster onto the road of healthy development. Therefore, in view of the governance structure of private listed companies and independent system is of great importance and necessity of research.In this paper, the characteristic properties of private listed company governance structure and the relationship between the degree of earnings management has carried on the empirical analysis, by examining the characteristic properties of governance structure on earnings management degree to analyze the influence of private defects in governance structure of listed companies in our country, this to improve the current our country private listed company’s governance structure provides a new train of thought. First, this paper systematically reviewed the theory of corporate governance, earnings management related theory and on the impact of governance structure on earnings management of listed companies at home and abroad research status, and expounds the related concepts and theoretical basis, a detailed analysis of the governance of China’s private listed companies present situation and the influence mechanism. Second, the empirical part of this article, according to the actual situation of China, using the improved model to measure earnings management degree,2009years ago in the deep in our country, the Shanghai two private listed companies listed in a-share market as the research object, select data from2009-2011,3years study of Chinese private listed companies governance structure on earnings management. Respectively from the ownership structure, board of directors, board of supervisors and management four aspects, summarizes our country private listed company’s governance structure characteristics, relevant arguments and then through theoretical analysis as a research hypothesis, and according to the actual data using the statistical methods such as regression analysis to research hypothesis test one by one, the analysis and discussion on the private listed companies governance structure on earnings management. Finally, this paper summarizes the research conclusion, and put forward help to improve China’s private listed company governance structure’s advice, and it also pointed out the insufficiency in study and further research direction.