In this paper, we first introduce different ideas of scholars at home and abroad about the influence of foreign exchange reserves on currency supply and price level.

Rapidaly increasing foreign exchange reserves and increasing price level are two of the most important problems in our economy.

There has been controversy over whether international trade affects domestic price level.

The rapid growth of foreign reserve and rise of prices level have become two outstanding problems in Chinese economy.

There is a significant difference between the influence of stock price upon the direction and extent of prices level in developed and developing countries.

Depreciation adjustment methods in the condition of Price fluctuation;

Combining an example how to make an analysis of investment project at the condition of price fluctuation is discussed in this paper.

As a kind of economic phenomenon,price fluctuation has always affected historic costaccounting,which,to some extent,hinders the financial accountant to fulfill their responsibilities.

The industrial and commercial progress and the improvement of consuming level , were the main dominants that drove up the price level, while the nature disaster and the continuous war also had great influence on the price variation in a given period.

As a kind of common economic phenomenon, changing price always has great effect on historical cost accounting system, which to some extent, hinders financial accounting performing its functions.