This paper, based on reviewing the relevant documents, studies the financial effects of purchase method and pooling of interest method via analyzing and comparing the two methods with correlated cases. It comes to the conclusion that the reason for the disparate financial effects lies in the inconsistent valuation basis for assets and liabilities. Aiming at the special financing and regulatory environment in our nation, this paper points out that it's crucia l to handle the restrictions on the employment of pooling of interest method and to consider the recognition criteria of purchasers in us...
