Relationship Between Characteristics Of The Board And Financial Restatement In Key Industries

Financial restatement is a kind of error correction mechanism, which has been revised and expressed by published and misleading financial information. Financial restatement phenomenon often occurs, which frequently through supplementary notice, notice to correct and supplement and correction notice form "patch" in key industries. It makes investors lose confidence. Their own sparked a series of the adverse consequences.The most representative reason is the lack of corporate governance, and the board of directors is the core of corporate governance, which has an important responsibility for the accounting information disclosure behavior of the listing corporation. With the support of the state, China’s key industries listing corporation has developed rapidly and has a wide and deep influence. In the gross national product and national fixed asset investment amount is the main proportion. Under the background of key industries listed company’s board characteristics and financial restatement of the relationship, to key industries listed companies found that the more effective board will governance mechanism, in order to improve the disclosure quality of accounting information.First of all, this paper defines the director characteristics, the financial restatement, the key industries related concept, summarizes the principal agent theory, stakeholder theory, resource dependence theory, and the relation between the board of directors and financial restatement of legal provisions. This paper put forward six hypotheses about the characteristics of the board. In 2012 and 2014 years in Shanghai and Shenzhen A-share listed companies financial restatement of the company as the research object, which take the key industries is agriculture, forestry, animal husbandry and fishery, industries, wholesale retail, real estate and other services industries interval, the descriptive statistics analysis. Take correlation analysis, binary logistic regression analysis, stability test, draw the following conclusion: the listed company’s board of directors, smaller and meeting quality is on the low side of restatement firms often occur in the key industries; The board of directors and special committee of independence and the number of financial restatement and will not produce significant effects. The results of empirical research and related theory are of great significance to further improve the governance mechanism of the board of directors and reduce the financial.