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Empirical Study of Fair Value’s Influence on the Performance of Listed Companies

Author: LiuSu
Tutor: LiuYiPing
School: Nanjing University of Aeronautics and Astronautics
Course: Accounting
Keywords: Fair value Listed companies Performance Affect
CLC: F233
Type: Master's thesis
Year: 2011
Downloads: 399
Quote: 0
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Abstract


Increasingly accelerated the process of integration with the world economy , in order to make our country better participate in international competition and cooperation , accounting also started looking for international convergence . February 15, 2006 , China's Ministry of Finance released a new set of accounting standards , new accounting standards have been formally introduced on January 1, 2007 , listed companies . The new standards system has 19 specific criteria related to the fair value , mainly in financial instruments , investment real estate , mergers, debt restructuring and non-monetary assets exchange specific guidelines . The introduction of fair value is bound to have an impact on the performance of listed companies . Firstly, related to the fair value of the theoretical as well as the fair value of the actual situation in our application for a review of the system . Secondly, based on theoretical analysis of the impact of the fair value of the performance of listed companies in China , the establishment of a fair value measurement model regression analysis of the impact on the performance of listed companies . Again , based on descriptive statistics on the total sample and sub- industry sample , using the regression analysis model , between 07-09 years are measured at fair value on the performance of listed companies in China , the comparative analysis of the five major industries at the same time segment within the fair value measurement of the performance of these industries . The results show that : ① measured at fair value with the total sample performance of listed companies of changes positively correlated ; ② fair value primarily through the main business profits , investment income , non-operating income and changes in fair values ??affect the performance of listed companies ; ③ 07 fair value does not significantly affect the performance of listed companies , the fair value of 08,09 gradually become apparent impact on the performance of listed companies ; ④ fair value is not the same sample the impact of the company's performance in different industries : impact on the performance of listed companies of the securities , insurance ; less impact on the performance of listed companies of banking, real estate category ; almost no effect on the performance of listed companies in the agriculture, forestry, animal husbandry, fisheries , metals, non-metallic class manufacturing class . Finally, on the basis of the above study , on the fair value of the proposed policy recommendations in our country a better application .

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CLC: > Economic > Economic planning and management > Accounting > Accounting Organization and system
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