Accounting Conservatism,credit Rating And Bond Financing Costs

In 2007,China first issued corporate bonds,and corporate bonds,as a new way of financing,widened the financing channels of enterprises and alleviated the restrictions on the issuance of bonds by enterprises.In the government work report in March 2018,premier li keqiang stressed that deepening reform of the multilevel capital market and promoting the healthy development of the bond market would undoubtedly be of great benefit to the bond market.Because our country capital market started late,development is not mature,information disclosure mechanism is not sound,the higher the degree of information asymmetry,increases the risk premium,restricts the efficiency of the bond market,bond financing difficult problem still haunt,hinder the progress and development of the enterprise.Seeking to influence corporate debt financing costs of factors,in order to reduce the cost of bond financing is not only beneficial to their own development,more help to promote the smooth running of market economy,balanced and sustainable development.Combining theoretical analysis and empirical test,the paper collected 2008-2016 to study the data of listed companies issuing corporate bonds,under the different credit ratings,the robustness of the sensitivity of the bond financing cost accounting,at the same time,according to the nature of property rights can be divided into state owned enterprises and non-state-owned enterprises group,check the credit rating of accounting conservatism and the impact of debt financing costs.The results of the study showed that :First,the higher of the credit rating,the lower of the bond financing cost.It shows that credit rating has the social credibility and can convey the positive information of the enterprise to the outside world,which is recognized by investors.Second,accounting conservatism and bond financing costs were positively correlated relationship,suggests that investors lack of demand for robustness,and can’t identify reflect the true level of enterprise accounting information,and thus lead to higher debt financing costs.Third,higher credit ratings reduce the sensitivity of accounting conservatism to the cost of debt financing.Fourth,compared to the non-state-owned enterprises,state-owned enterprises in the credit rating more weakened the robustness of the sensitive degree of bond financing cost accounting,capital market by credit rating mechanisms can better give reasonable high robustness of enterprise cost of capital pricing.