The Analysis of Enterprise Profits Manipulation Based on the Relevance Theory

There is a widespread phenomenon in the enterprises of China that some of the enterprise's interim financial reports reflect negative profits index.In order to achieve the profits of the company,the managers of the enterprise will be regulated the artificial profits and the whitewash financial statements by a variety of methods.By these methods,the enterprises 's annual financial report provided a positive number in the finial year.The implementation of these actions will make the great infact on the corporate investors,shareholders,creditors and government departments.