Abstract To a certain extent earnings management is a legitimate administrative action. It is a rational choice to use the earnings management in the listed companies and it also manifests the manager’s level. Earnings management will promote the company's development. To redistribute the interests to all aspects and to improve the information content of accounting will encourage management, which would also lead to distortion of accounting information , the impaction on the optimal allocation of resources ,the damage of the long-term interests and accounting ethics violation. But we can not only see the negative impact. We should use its scientific development for the company's contribution. This article carries on the analysis to the earnings management's motive as well as the objective factor aspect. It hopes that can discuss the standard earnings administrative action the plan, stops the profit operation, which is significant regarding the current earnings management significance.
Keywords: The listed companies Earnings management Method Standardization and Governance
