An Empirical Study On Corporate Earnings Enterprise Life Cycle Management

Earnings management since the1980s, the rise from the West, accounting theory, formulated the theory and practice of financial analysis and accounting standards have played a positive role in promoting, has become a modern accounting theory and empirical research in an important area. Chinese capital market after ten years of development, optimizing the allocation of resources, promote economic restructuring, to achieve a balanced and healthy development of the financial market has played an important role, but with the change of expanding the capacity of the relevant accounting rules, regulatory difficulty increasing our earnings management also began to spread, the " shadow " is always in the financial statements of listed companies looming becoming one of the major causes of the financial statements of listed companies information distortion problem, it is necessary to conduct in-depth earnings management governance.In China, every year many listed companies Non-standard audit report is issued, indicating that the elastic under accrual accounting professional judgment and accounting standards makes earnings management is widely used. And because of the life cycle in different enterprises, their earnings management, motivation and the means may vary, which often give the company’s statements cast a layer of tulle, so that the interests of investors, creditors and other stakeholders is difficult to identify accurately and efficiently the real situation of enterprises. This article is based on this purpose and the choice of this topic, the life cycle of their earnings management behavior of enterprises combine tried and empirical research on the comparative analysis of earnings management at different stages of the life cycle of the enterprise, operational direction, from which summary some conclusions and laws, to provide some reference and as a safeguard against excessive earnings management behavior of listed companies, investors are better able to discern the true accounting information of enterprises, as well as the management and the audit unit of the enterprise surplus accurate and effective detection and monitoring opinion.In this paper, a sample of listed companies in the manufacturing sector, the reduction of each company’s real earnings management through the use Roychowdhury model, minus the actual earnings forecast by management to get the true value of each level of earnings manipulation, in order to establish the regression model to analyze the enterprise correlation between the degree of earnings manipulation and corporate life cycle, so to illustrate the extent of enterprises in different stages of the life cycle of earnings manipulation and the direction of the manipulation.By establishing the regression model regression analysis, the final conclusion of this article is:in terms of relative maturity, and decline in the growth stage companies, their real earnings management is higher than the maturity of the enterprise, and carried up the real events surplus management. This article hopes to give conclusions made by the various stakeholders of some warning, hoping to understand the various stakeholders in the life cycle of enterprises have a different kind of motivation for earnings manipulation, but also want to be able in order to promote the improvement of relevant laws and regulations so that the accounting information quality real and effective.