Causes and Countermeasures of Accounting Information Distortion —— Abstracts of Accounting Information Distortion Papers

Abstract: The distortion of accounting information is a persistent problem in the current accounting field, and it is an international and historic problem. It has always been a key topic in the world accounting field, and it is also the focus of attention of government departments all over the world. Therefore, it is of great practical significance to study how to ensure the authenticity of accounting information and how to prevent the distortion of accounting information to the greatest extent.

Keywords: accounting information distortion causes and countermeasures

China Library Classification Number: F233 Document Identification Number: Part A Number:1672-3791(2012) 06 (a)-0218-01.

The distortion of accounting information in China is not only an academic theoretical problem, or an economic problem, but also a political problem that needs to be solved from the source. It is still a problem that we need to seriously explore to reveal the reasons for the distortion of accounting information and find out the countermeasures to improve the quality of accounting information.

1 Definition of accounting information distortion

Accounting information refers to the information that an accounting unit discloses its financial status and operating results to investors, creditors or other information users through financial statements, financial reports or notes. The distortion of accounting information refers to the false information produced by the inconsistency between the output and input of accounting information, that is, the situation reflected in the financial report is inconsistent with the original voucher (including further processing based on the original voucher). There are many forms of accounting information distortion, which can be summarized into two types. Horizontally, the information flow is inaccurate. Vertically, the flow is inaccurate. The distortion of accounting information is the difference between the quality of accounting information and the real operating results of enterprises, including the distortion of system information caused by defects such as standard-setting mode and the distortion of behavior information caused by defects such as corporate governance. The main manifestations of accounting information distortion are: First, the information provided by accounting vouchers is distorted. Among all false accounting information, the falsification of accounting vouchers is the root of accounting information distortion. In the accounting process, the filling and verification of vouchers are the basis, and voucher errors will lead to a series of wrong information. The second is the information distortion generated by accounting books. Third, the information provided by financial accounting reports is distorted. Fourth, the information in the audit report is distorted. Whether accounting information is distorted or not is an important criterion to evaluate the quality and reliability of accounting information system.

2 accounting information distortion reasons

2. 1 Weak legal concept, lax law enforcement and poor punishment.

Although China has promulgated a series of financial accounting laws and regulations, such as Accounting Law, Company Law and Two Detailed Rules, economic punishment is often heavier than administrative and legal punishment for the act of forging company accounting information. Paying more attention to unit punishment than personal punishment weakens the effectiveness of the law, which leads to the weak legal concept of the person in charge of the unit and the accountants, and the lack of rigor in handling every economic business in their work, which makes the phenomenon of accounting information distortion repeated. Some supervisors have the experience of profit-seeking, luck, conformity and comparison, colluding with enterprises and companies and cheating in partnership, which makes false information more hidden and the probability of being exposed is very small. Finally, the distortion of accounting information becomes more and more serious.

2.2 The professional ethics of accountants needs to be improved.

Accounting work is an activity that directly involves the economic interests of the state, units, investors, creditors and other aspects. The acquisition, sorting, processing and analysis of accounting information are inseparable from the work of accountants, whose quality is the decisive factor for the quality of accounting information. If the quality of accountants is not high, consciously or unconsciously providing false accounting information will not only mislead investors and creditors, make them make mistakes in decision-making, but also lead to a large loss of state-owned assets and fiscal revenue, disrupt the macro-control of the national economy and the order of the market economy, encourage corruption and ruin the social atmosphere.

2.3 subjective manipulation of unit leadership fraud

In order to reflect their "political achievements", many leaders of units or competent departments adjust the figures of accounting statements at will. Moreover, business leaders only regard accounting as accounting, and accounting does whatever it says. Instigated by the operators, it is inevitable to provide false accounting statement information, which leads to the distortion of accounting information. Some unit leaders frequently mobilize accounting personnel for their own interests, which makes the unit accounting work unable to be carried out normally and continuously. Under the banner of protecting collective interests, some business leaders take countermeasures to tamper with and distort accounting data, so as to achieve the purpose of reducing profits, deceiving users of accounting information, evading taxes, withholding income, and turning public into private. Falsely increasing profits, covering up losses, defrauding loans, and falsifying data to cover up corruption and bribery crimes.

2.4 Imperfect audit supervision system contributed to the vicious circle of accounting information distortion.

Although China has formed a trinity accounting supervision system consisting of internal accounting supervision, social audit supervision and government supervision, there are still some problems in the current accounting supervision system. In the absence of internal supervision, external audit will succumb to the huge economic interests of enterprises and turn a blind eye to the fraud of some customers. Not only does it not play a supervisory role, but it sometimes plays a cover role. Issue unqualified opinions to ensure the normal operation of the enterprise. The competent department lacks complete supporting rules, regulations and measures, and some existing institutional principles are more specific and less specific, policy guidance is more procedural and less normative, qualitative provisions are more quantitative and less, and there are no clear and tough institutional provisions and means to restrain them.

3 accounting information distortion control measures

Solving the problem of accounting information distortion is an extremely arduous and complicated systematic project, which requires efforts in strengthening the construction of accounting norms, perfecting the formation mechanism of accounting information, strengthening the construction of accounting professional ethics, and rationalizing the interests of all parties.

3. 1 Strengthen legal supervision and increase penalties for accounting violations.

Gradually improve the accounting information quality inspection announcement system, and effectively enhance the influence of accounting supervision. In order to effectively deter accounting counterfeiters, the Ministry of Finance has intensified the exposure of illegal acts, established an accounting information quality inspection announcement system, and publicized the annual inspection and punishment results to the public. Extensive publicity and reporting through the news media has aroused strong repercussions in the society and greatly enhanced the deterrence and influence of accounting supervision.

3.2 Perfecting and strengthening the accounting external supervision system is an important measure to eradicate accounting information distortion.

It is necessary to improve and strengthen the accounting supervision of government departments, improve the social audit supervision system, effectively improve the service quality of certified public accountants, optimize the organizational form of accounting firms, and give play to the role of social intermediary organizations such as certified public accountants. It is necessary to standardize quality control, strengthen risk awareness, strictly implement the audit quality control standards of certified public accountants in China, and consciously follow professional ethics.

3.3 clear the main responsibilities of the unit responsible person.

"Accounting Law" clearly stipulates that the person in charge of the unit shall bear the main responsibility, and it is clear that the person in charge of the unit is the responsible subject of accounting behavior. This grasps the crux of the problem and is conducive to fundamentally solving the problems of chaotic accounting order and distortion of accounting information. First, establish and improve the internal control system of enterprises. The responsibilities, authorities, working procedures and disciplinary requirements of relevant personnel in accounting work must be clearly defined. Second, strengthen the internal audit of enterprises. In order to effectively assume the responsibility of the responsible subject, the person in charge of the unit must attach importance to and strengthen the internal audit and give full play to its role.

3.4 Strengthen professional ethics education and improve the quality of accountants.

The Accounting Law stipulates: "Accountants should abide by professional ethics, improve their professional quality and strengthen the education and training of accountants". As a special employee, accountants should not only have good professional quality, but also have strong policy concepts and professional ethics. Professional quality and professional ethics level determine the quality of accounting work to a certain extent, which is directly related to the quality of accounting work order and affects the healthy development of social credit foundation and socialist market economic order. In addition, it is necessary to further improve the accounting personnel qualification management system and follow-up education and training system, strengthen the construction of accounting team, and comprehensively improve the quality of accounting personnel.

4 conclusion

Establish an honest disclosure system of financial accounting information suitable for China's national conditions as soon as possible; Looking for long-lost honesty, creating a good accounting environment, striving to improve the quality of accounting information and giving full play to accounting functions will help the orderly operation of the market, bring accounting work to a new level, make accounting really play its role, promote social progress and realize China's economic take-off. It is of great significance to thoroughly control and solve the distortion of accounting information for the return of honesty and the sustained economic growth.

refer to

[1] Li Shuangfeng. Causes and countermeasures of accounting information distortion [J]. Modern commercial trade industry, 2011(11).

[2] Zhao Jing. On measures to improve the quality of accountants [J]. Innovation and application of science and technology, 20 12(2).