The Definition, Causes and Improvement of the Accounting Information Distortion

The authenticity and effectiveness of the accounting information are important prerequisites for the development of social economy. They are also one of the criteria to measure the standards of accounting. With the advent of economic globalization, the authenticity of the accounting information is facing greater challenges. At present, the enterprises' accounting information distortion in our country is becoming more and more popular, which has greatly affected the normal operation and management of the enterprises, has brought a great number of economic losses to them, and has also misled their decision-making. In order to reduce irreparable economic losses brought by the accounting information distortion to the enterprises, the society and the country, relevant departments must take effective measures to explore the causes of the accounting information distortion and formulate corresponding measures to improve it. Accounting information distortion is one of the important reasons that restricts the development of Chinese enterprises. Enterprise's accounting information distortion has covered a wide range and brought certain damage, which will not only affect the enterprise's production, management quality and economic benefits, but also have a bad influence on the society affecting national taxation that hinders the economic development of our country. The causes of the problem of the accounting information distortion should be analyzed in order to solve it reasonably and effectively. Reasonable management measures can be made based on actual situations of our country. This paper introduces the definition and causes of the accounting information distortion and analyzes effective measures to solve this problem at the current situation.