History is just like a chain in that the individual parts cannot be separated from the continuum, and current development is based on lessons from the past, which makes historical research quite meaningful. The period of the Republic of China (the early twentieth century) was a turbulent period in Chinese history. During this period of social transformation, foreign invasion and the rise of national capitalism to some extent promoted the development of the accounting industry, which also gradually brought about a collision between Chinese traditional bookkeeping methods and western accounting techniques. After the establishment of the Nationalist Government, some legal provisions were introduced to help regulate the industry. This paper seeks to examine the development and evolution of Chinese bookkeeping in the early twentieth century, especially from 1927 to 1937, using the theories of German sociologist Max Weber to analyze the social environment of that period.