PRC ACCOUNTING SYSTEM
What is role of the Accounting Law of the PRC?
Published on 2018-05-14
The Accounting Law of the PRC (revised on 1 July 2000) has highest authority on accounting sector in China. It sets out general accounting principles for all enterprises, including the nature and role of accounting, China social security numberand basic principles. It empowers the Ministry of Finance of PRC to administer accounting affairs and to establish uniform accounting regulations […]
What are the major differences between PRC accountingsystem and those in other countries?
Published on 2018-05-14
In establishing your company’s accounting structure, one of the first tasks is to identify and to reconcile the differences in accounting practices used by your parent company and the rules in China. The PRC does not exactly follow international accounting policies and guidelines, although it is moving on this direction and so far, many of the […]
What is Chinese Accounting Standards (CAS)?
Published on 2018-05-14
The Ministry of Finance (“MOF”) has been for a long time working to develop a set of Chinese Accounting Standards that are largely in line with International Financial Reporting Standards (“IFRS”). The MOF issued its first Standard in 1997. To date, 17 standards have been adopted and others are still under preparation. A complete list […]
How is the Accounting System for Business Enterprises of PRC prepared?
Published on 2018-05-14
In January 2001, the Ministry of Finance (“MOF”) adopted a comprehensive Accounting System for Business Enterprises (“the System”). The System is based, partially, on the experience of the MOF in implementing the Accounting System for Joint Stock Limited Enterprises and, partially, on the existing individual Chinese Accounting Standards (“CAS”) issued over the past few years.
Which system should joint stock limited enterprises follow?
Published on 2018-05-14
Starting 1 January 2001, all joint stock limited enterprises (“JSLEs”) were required to follow the System – except enterprises in banking, insurance, and other specialised financial industries. When the System became effective on 1 January 2001, the old Accounting System for JSLEs was abolished. Starting from 2001, enterprises besides JSLEs have been encouraged to follow […]
Is the Accounting System applicable to FIEs?
Published on 2018-05-14
As of 1 January 2002, the MOF extended the applicable scope of the System to all foreign invested enterprises excluding those in banking, insurance, and other financial service industry.
What is the accounting system for financial institutions?
Published on 2018-05-14
Early in 2002, the MOF issued a new separate – though similar – accounting system for Financial Institutions. It must be adopted, starting 1 January 2002, by all listed and foreign invested banks, insurance companies, brokerages, leasing companies, and finance companies. Unlisted financial institutions that are joint stock limited enterprises are encouraged to follow the […]
What are the differences between the Accounting System and Accounting Standards?
Published on 2018-05-14
While both are formulated and promulgated by MOF, there exist certain differences them. First, the application scope is different. Specific accounting standards are mostly applicable to joint stock limited companies, although sometimes the standards apply to other enterprises too. The Accounting System applies not only joint stock limited companies, but also other qualified enterprises. Second, […]
What are the four basic accounting assumptions in China?
Published on 2018-05-14
(a) Accounting Entity An accounting entity can be an enterprise, an enterprise group or the accounting department of an enterprise. (b) Continuity Postulate The Accounting System stipulates that, under normal circumstances, the accounting treatment to be adopted by enterprises should be based on continuity postulate. For instance, the historical costing method is used for the […]
What are the basic principles of accounting in China?
Published on 2018-05-14
The general principles guiding and evaluating accounting work comprise three categories. general principles for evaluating the quality of accounting information; general principles for recognizing and measuring accounting elements; and general principles for revising the above two sets of principles.
Are you setting up a company in China? Lee & Lee Associateswill provide you with the strong support!To learn more about m&a financial due diligence, please contact us!
Send product request
Other supplier products
 |
TAX DUE DILIGENCE | If you do not feel comfortable for your company’s tax accruals and payments, if you are facing a tax audit by local tax authority, or if you ... |
 |
BUSINESS DEREGISTRATION | There are a number of government bodies you need to go through if you want to deregister a business. The period of business deregistrationgenerally... |
 |
EMPLOYMENT CONTRACT | You may have aChinese employment contract templateat your head office. However, you can expect many differences between it and a “should-be&r... |
 |
Payroll Service | More and more enterprises are choosing to outsource theirfunction to maintain their competitive edge. Outsourcing your payroll function can enable ... |
 |
FINANCIAL DUE DILIGENCE | To successfully enter the China market, you may have different options, such as working with a local sales/service agent, setting up a business fro... |
Same products
 |
Digital Blade Sign | Seller: Shenzhen Cosun Sign Smart-Tech Co. Ltd. | Digital Blade Sign The digital blade sign is a product developed from the traditional blade sign... |
 |
Pylon Signs | Seller: Shenzhen Cosun Sign Smart-Tech Co. Ltd. | Pylon Signs Pylon signsare a type of upright wayfinding sign used in various facilities within c... |
 |
Two-Shot Injection Molds | Seller: WIT MOLD LIMITED | Two-Shot Injection Molds Advantages of two-shot injection molding The benefits of Double Inject... |
 |
precision injection molding | Seller: WIT MOLD LIMITED | precision injection molding Precision injection moldingis a method demanding unparalleled accura... |
 |
Custom Plastic Molds molding | Seller: WIT MOLD LIMITED | Custom Plastic Molds molding Plastic Molds molding servicesprovide many extremely versatile part... |
