The Impact Study On The Fair Value Measurement Of Investment Real Estate Of Guanfu,.LTD.China

With the rapid development of the real estate market,many companies invest their capital in real estate enterprises.In order to stakeholders clearly understand the operation of investment property,accurately evaluate the enterprise value,using the investment real estate fair value measurement is necessary.In this context,the ministry of finance introduced the guidelines in 2006——?Enterprise Accounting Standards No.39-Fair Value Measurements?.It will be an investment real estate as an accounting principles alone,standardize its recognition,measurement,recording and reporting,designed to reflect the real value of the investment real estate,so as to do basis for accurate evaluation of enterprise value.At present,some enterprises take advantage of the loophole of real estate appraisal standard and sea it as a tool for earnings management.It not only makes it hard for investors to obtain effective information,also to brings a big challenge in the market competition environment,the related institutions of audit supervision and legal system.In this paper,we study the application of the investment real estate measurement model in GuanFu,.ltd.china.First,through the case found the problem in the practice of fair value measurement,such as fair value is hard to obtain,increase enterprise finical fluctuations,fair value virtual appraise enterprise assets,etc.Secondly,analysis the effect by using fair value measurement of financial indicators,such as total assets related to the solvency ratio,the multiple of interest safeguard,related to the profitability of total assets net profit margin and operating margins,etc.Finally,combining with the enterprise situation,give some suggestions to avoid the disadvantages of fair value,so as to provide reference for enterprises with investment real estate.The suggestion mainly includes: to improve the fair value application of market conditions,to set up the reliability of fair value validation of third parties,improve the valuation techniques operability,strengthen the internal management of enterprises.