利用关联方交易支撑外文翻译.doc

外文翻译 原文 Propping through related party transactions Material.Source:Review.of.Accounting.Studies Author: Ming.Jian ,T.J.Wong Based on a sample of Chinese listed firms from 1998 through 2002, this paper documents that listed firms prop up earnings by using abnormal related sales to their controlling owners. Such related sales propping is more prevalent among state-owned firms and in regions with weaker economic institutions. We also find that these abnormal related sales are not entirely accrual-based but can be cash-based as well, and they serve as a substitute rather than complement to accruals management for meeting earnings targets. Since these abnormal related sales can be cash-based, there is significant cash transfer via related lending from listed firms back to controlling owners after the propping. However, no cash transfer via related lending is found to be associated with accruals earnings management. Using a sample of listed firms in China, we study how institutions and firm organizational structures in a transitional economy shape the ways firms use related party transactions to manage earnings. This paper is motivated by recent research on economic institutions and accounting properties. In contrast to prior studies that attempt to draw broad inferences from data across many countries, this paper utilizes the intricate institutional structures of a particular country and the variation of the institutions across provinces within the country. In addition, by analyzing related party transactions as a form of earnings management, this paper complements prior research such as Leuz et al.，who focus primarily on the relationship between accruals and earnings management. China offers a natural setting for a study of the questions for three reasons. First, as in many other emerging markets, the capital, product, and labor markets in China are underdeveloped. As a result, firms in these markets organize into groups to form internal markets to lower transac