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Journal of Humanities, Arts and Social Science

ISSN Online: 2576-0548 ISSN Print: 2576-0556 CODEN: JHASAY
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ArticleOpen Access http://dx.doi.org/10.26855/jhass.2026.06.005

Earnings Quality of Resource Enterprises Under Commodity Price Volatility Transmission

Zinuo Wang

Columbia Business School, New York, NY 10027, USA.

*Corresponding author: Zinuo Wang

Published: June 24, 2026

Abstract

Commodity prices exhibit a cyclical fluctuation pattern in the global resource market. The fluctuations in energy, minerals, and basic raw materials often propagate through production decisions, inventory valuation, and risk management arrangements to the enterprise’s financial system, resulting in a significant price-dependent characteristic in the profit structure of resource-based enterprises. During the dynamic evolution of prices, the timing of revenue recognition, inventory measurement methods, and the application of derivative tools jointly shape the profit generation path, leading to fluctuations in the volatility amplification or rhythm mismatch of the profit surplus performance in financial statements. Analyzing the transmission chain of price shocks in the enterprise’s operating system, combined with key links such as production cycle adjustment, inventory valuation changes, and accounting recognition mechanisms, a logical framework of “market price - operational response - accounting reflection - profit quality” is constructed. From the dimensions of profit sustainability, accrual reliability, and information transparency, the performance of profit quality of resource-based enterprises is examined, providing an explanatory theoretical perspective for the financial governance and investment decision analysis of resource enterprises.

Keyword

Commodity price fluctuations; resource-based enterprises; profit quality; price transmission mechanism

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Copyright

© 2026 by the author(s).
This article is an open access article distributed under the terms and conditions of the Creative Commons Attribution-NonCommercial-NoDerivatives (CC BY-NC-ND) license, which permits non-commercial use, distribution, and reproduction in any medium, provided the original work is properly cited and is not modified or adapted.
https://creativecommons.org/licenses/by-nc-nd/4.0/

How to cite this paper

Earnings Quality of Resource Enterprises Under Commodity Price Volatility Transmission

How to cite this paper: Zinuo Wang. (2026) Earnings Quality of Resource Enterprises Under Commodity Price Volatility Transmission. Journal of Humanities, Arts and Social Science10(6), 638-642.

DOI: http://dx.doi.org/10.26855/jhass.2026.06.005