Lateset Enterprise Accounting Standards Explanation and Application (Volume 1 and 2)

Author: Written by the Writing Group for the Explanation and Application of the Latest Enterprise Accounting Standards
Publisher:
Publishing Date: March 1, 2006
Features: On February 15, 2006, the Ministry of Finance of China officially released the newly revised Enterprise Accounting Standards. This was China's response to the need for diversified accounting information under market economy conditions, the global trend of international convergence of accounting standards in the context of economic globalization, the implementation of the Scientific Outlook on Development, and the advancement of harmonious social construction. The new accounting standards system was revised based on the original one, which consisted of one basic standard and 16 specific standards. The new accounting standards system comprises over 20 standards, including one basic accounting standard and 38 specific accounting standards. The basic framework of the new accounting standards system is as follows: specific standards for special industries such as basic production, are presented according to reporting standards such as the cash flow statement and consolidated financial statements, covering the accounting treatment and related disclosures of most of a company's economic activities, forming a system adapted to the development process of China's socialist market economy. The new accounting standards system was implemented starting from January 1, 2007, first in listed companies in China, and encouraged other companies to implement them ahead of schedule, aiming to cover large and medium-sized enterprises in China in the near future. This book is based on the Enterprise Accounting System officially promulgated by the Ministry of Finance, focusing on practicality, operation, and clarity, making it highly applicable and operational. It highlights the following features:
- Show the Development Context: For each standard, it presents the background of its creation, development, and revision, and compares it item by item with the current international standards, striving to help readers not only "know what" but also "understand why," grasping the essence and spirit of the standards' formation and development.
- Comprehensively Reflect Changes: For standards revised from the original ones, it carefully compares them item by item to fully and accurately reflect the changes in the standards system; for recently issued standards, it also incorporates minor revisions made from the original release date to February 15, 2006, aiming to comprehensively reflect all changes of this revision and provide clear guidance to financial accounting personnel.
- Objectivity, Accuracy, and Authenticity: Strictly adhering to the Ministry of Finance's leadership requirement of "not causing trouble," it accurately and objectively reflects the purpose, principles, and specific requirements of the standards system. For unambiguous and uncontroversial provisions, it provides accurate and practical explanations; for controversial issues and areas with gaps, it avoids arbitrary comments or assumptions, maintaining a scientific and pragmatic approach to contribute to the implementation of the new accounting standards system.
- Concise but Appropriate Length: The goal of this book is to become a desk reference and tool for financial workers, with strict control over its length. For established conclusions or traditional practices, it briefly covers them or provides indexes; for recently revised changes or uncertain areas, it elaborates in detail, explaining both term definitions, scope of application, and application methods. Therefore, although the book is concise, it remains highly operational and practical.
The revision and improvement of the accounting standards system is a dynamic process, and the implementation of the system will also involve an exploration process. As subsequent work related to the implementation of the standards system unfolds, readers will find that this book is of great reference value in helping them understand the background of the reform, grasp the changes between the old and new systems, broaden their international perspective, and quickly master the new accounting standards system.
On February 15, 2006, the Ministry of Finance of China officially released the newly revised Enterprise Accounting Standards. This was China's response to the need for diversified accounting information under market economy conditions, the global trend of international convergence of accounting standards in the context of economic globalization, the implementation of the Scientific Outlook on Development, and the advancement of harmonious social construction. The new accounting standards system was revised based on the original one, which consisted of one basic standard and 16 specific standards. The new accounting standards system comprises over 20 standards, including one basic accounting standard and 38 specific accounting standards. The basic framework of the new accounting standards system is as follows: specific standards for special industries such as basic production, are presented according to reporting standards such as the cash flow statement and consolidated financial statements, covering the accounting treatment and related disclosures of most of a company's economic activities, forming a system adapted to the development process of China's socialist market economy. The new accounting standards system was implemented starting from January 1, 2007, first in listed companies in China, and encouraged other companies to implement them ahead of schedule, aiming to cover large and medium-sized enterprises in China in the near future. This book is based on the Enterprise Accounting System officially promulgated by the Ministry of Finance, focusing on practicality, operation, and clarity, making it highly applicable and operational. It highlights the following features:
- Show the Development Context: For each standard, it presents the background of its creation, development, and revision, and compares it item by item with the current international standards, striving to help readers not only "know what" but also "understand why," grasping the essence and spirit of the standards' formation and development.
- Comprehensively Reflect Changes: For standards revised from the original ones, it carefully compares them item by item to fully and accurately reflect the changes in the standards system; for recently issued standards, it also incorporates minor revisions made from the original release date to February 15, 2006, aiming to comprehensively reflect all changes of this revision and provide clear guidance to financial accounting personnel.
- Objectivity, Accuracy, and Authenticity: Strictly adhering to the Ministry of Finance's leadership requirement of "not causing trouble," it accurately and objectively reflects the purpose, principles, and specific requirements of the standards system. For unambiguous and uncontroversial provisions, it provides accurate and practical explanations; for controversial issues and areas with gaps, it avoids arbitrary comments or assumptions, maintaining a scientific and pragmatic approach to contribute to the implementation of the new accounting standards system.
- Concise but Appropriate Length: The goal of this book is to become a desk reference and tool for financial workers, with strict control over its length. For established conclusions or traditional practices, it briefly covers them or provides indexes; for recently revised changes or uncertain areas, it elaborates in detail, explaining both term definitions, scope of application, and application methods. Therefore, although the book is concise, it remains highly operational and practical.
The revision and improvement of the accounting standards system is a dynamic process, and the implementation of the system will also involve an exploration process. As subsequent work related to the implementation of the standards system unfolds, readers will find that this book is of great reference value in helping them understand the background of the reform, grasp the changes between the old and new systems, broaden their international perspective, and quickly master the new accounting standards system.