The Correlative Analysis on Asset Impairments and Earnings Management of Chinese Listed Companies
Under the system environment of the new standard of Accounting has been implemented and on the basis of the data of listed companies in Chinas capital market in the period of 2001 and 2006, this paper has studied the effect of asset impairments on earnings management by using Modified Jonse Model to calculate discretional accruals. The key findings are as follows: i. There is a negative correlation between asset impairments and discretional Accruals. ii. New asset impairments and discretional accruals are in a negative correlation, while asset impairments switched back and discretional accruals are in a positive correlation, iii. The effect of asset impairments to earnings management shows a significant difference between fore and aft the new Standard of Accounting. It is also found that the effect of long asset impairments on discretional accruals is more significant than that of short ones on, which has consequential implication to the new standard that asset impairments cannot be switched back.
Asset Write-downs Asset Impairments Earnings Management Discretional Accruals
WANG Shengnian
Finance and Accounting Department, Shihezi University, P.R.China, 832000
国际会议
The International Conference on Management of Technology(2008太原技术管理国际研讨会)
太原
英文
482-488
2008-08-01（万方平台首次上网日期，不代表论文的发表时间）