Study on the Application of Environmental Management Accounting in Chinese Enterprises

At present, the Chinese economy faces serious challenges resulting from environmental pollution. Therefore, to promote environmental accounting and its application in Chinese enterprises may contribute to facilitate the Chinese economic growth. Environmental management accounting (EMA) takes the environmental management as core, involving the assignment and management of the enterprise's environment cost, the product design and pricing, the appraisal on investment decision, the performance appraisal, and the budget. It can provide the information which is relevant to environment for enterprise internal management to make decisions. In this paper, the author firstly discusses the definition of environmental management accounting; this article elaborates environmental management accounting's cost, income, characteristics and the significance of environmental management accounting for enterprises. Then, according to the present situation of applying environmental management accounting, it focuses on analyzing the reasons for the lag in applying environmental management accounting, furthermore, to propose the measures to promote the application of environmental management accounting in Chinese enterprises.