Research on the Obstacles and Countermeasures of Convergence Between China's Accounting Standards and International Accounting Standards

Abstract

International convergence of accounting standards means that with the accelerating process of economic globalization and internationalization of capital market, it plays an important role in achieving effective coordination among countries in order to reduce transaction costs, improve the efficiency of resource allocation and provide investors with more optional information. Since China has joined the WTO, it has become more and more closely connected with other countries in the world. In this situation, China's accounting standards should also be in line with international accounting standards, so as to provide more comprehensive financial information for Chinese enterprises. This paper introduces the guiding and binding role of accounting standard system and norms in the process of formulating and implementing accounting standards in China. Secondly it analyzes the current situation of international convergence of accounting standards as Chinese enterprises are carrying out the international development process faster and faster, and puts forward corresponding countermeasures for the existing problems in China's accounting industry, hoping to provide reference for Chinese enterprises to achieve sustainable development.