英文目录

Highlights in This Issue

Finance Minister Lou Jiwei Urges Accelerating the Development of Chinese Characterized Management Accounting to Promote Transition and Upgrading of Chinese Economy

During his report in “Lectures on Chinese Management Accounting”, Mr. Lou Jiwei, Minister of Finance, systematically expounds the history and functions of management accounting, objectively evaluates the current developing status and problem of management accounting in China, and puts forward clearly the aim, task and requirement of accelerating the development of Chinese characteristic management accounting, which is endeavor to establish the management accounting system that fits the socialist market economy mechanism in China within 3-5 years, develop a number of management accountants nationwide, and promote accelerating construction of competence framework, qualification authentication system, and evaluation system of management accounting talent; to basically form Chinese characteristic management accounting theory system, and establish management accounting guidance system with efforts in 5-10 years.   

Empirical Research on Influence of Independent Director Compensation on Earnings Management

The article taking A-share companies listed in Shanghai and Shenzhen stock markets during 2007-2011 as samples, studies the influence of independent director compensation on earnings management. It finds out that independent director compensation is of significantly positive correlation with the degree of earnings management; furthermore, compared with the negative earnings management, the independent director compensation has more influence on positive earnings management; finally, the positive correlation relationship of independent director compensation and earnings management degree is more significant in companies of good performance. The research shows that although the independent directors are able to find out the earnings management behavior to a certain extent, they can’t suppress it happening effectively. Therefore, varying levels of compensation will be required for the dishonesty. In this circumstance, good company performance creates conditions for independent directors to require high compensation, therefore, further intensifies the degree of earnings management.

Exploration of Financial Issues during the Retirement of an Accounting Firm Partner

Nowadays, the ageing trend of accounting firm partners is severe. In accordance with the life cycle, when a partner which is the major human resource of an accounting firm becomes aging, with the gradual decline of its strength, brainpower, ability of accepting new staff, and practicing competence, the value one could create for the firm will reduce. By that time, the partner is facing retirement and assignment of interests. It is very important to design a retirement policy that could be accepted by retiring partners, in-office partners as well as potential partners, however, many firms are still lack of clear retirement mechanism in our country. Therefore, the article conducts an in-depth discussion on financial issues during retirement, such as the estimation methods of retirement funds, the payment arrangements of accounting firms, and the judging standard of the feasibility of retirement policy.