The Internal Control Of Opportunistic Earnings Management Inhibition Effect Research

High-quality accounting information is the basis for effective allocation of stock market resources.The perfect corporate governance mechanism is the environmental guarantee of high-quality accounting information.However,such as enron,worldcom financial scandal ensued,make clear to securities market,rely on the financial information disclosure mechanism and the system of independent audit is difficult to effectively to ensure the quality of accounting information.When the company operators do not agree with owner interests,operators are likely to implement earnings management behavior,from the private interests,violation of accounting standards,accounting information quality.Internal control as an important part of company internal governance mechanism,one of the core objective is to improve the quality of accounting information,guarantee the authenticity and reliability of financial reporting.Therefore,internal controls can influence the behavior of surplus management to some extent.But,at present the inhibition effect of internal control on earnings management of related literature,the most in order to study the internal control and accrued earnings management or earnings management is given priority to,real activity and research conclusion is not unified,the reason may be that further divided on earnings management.Surplus management itself is a neutral,which includes both in the accounting standards,to the extent permitted to the company's external transfer more with the company's operation and development of the related information information driven earnings management;It also includes the management of opportunistic surpluses that have undermined the interests of large investors by making discretionary adjustments to performance reports.However,the management of opportunistic surplus can lead to the moral hazard and adverse selection of public company managers,which can harm the quality of accounting information and other important issues.Therefore,it is necessary to study the effect of internal control on the management of opportunistic surplus.There are five chapters in this article.The first chapter is the introduction part,mainly including the paper research background and research significance,the domestic and foreign about the internal control of opportunistic earnings management aspects of the literature review,research ideas and research methods and the innovation of this article.The second chapter is the related concepts and theoretical part,mainly including referred to in this article the concept of internal control and opportunistic earnings management and introduces the relevant theories,and from the principal-agent theory,asymmetric information theory,the internal control theory and the theory of internal control such as rational economic man and the relationship between the opportunistic earnings management are discussed in detail.Chapter 3 is an analysis of the theory of the management of opportunism and the hypothesis of internal control.The fourth chapter is about the internal control of opportunistic earnings management:an empirical study of inhibition effect,in this part in this paper,the selection of Shanghai and shenzhen two city of a-share listed companies from 2008 to 2014,9004 observed value is studied,and the empirical analysis,to verify the hypothesis in this paper.Chapter five is the research conclusion,suggestion and prospect of this article;It is mainly based on the hypothesis of theoretical analysis,and then put forward the suggestion and prospect.The study concludes:(1)internal control is negatively correlated with opportunistic surplus management;(2)internal control and opportunism should be significantly negatively correlated with the management of surplus management.(3)internal control and opportunistic real surplus management are negatively correlated but not significant;(4)further study found that in all the samples of 2008-2014 years in 2010,for the boundary,the empirical shows that along with our country internal control successively promulgated laws and regulations,basic to perfect the internal control system in China,the internal control of opportunism accrued earnings management inhibition received a significant boost.