| Financial departments Should prepare accrual-based governmental comprehensive financial reports in accordance with new Budget Law in China.Thus,the preparation of accrual-based governmental comprehensive financial report has been guaranteed and regulated.Based on stakeholders theory,new public management theory,public accountability theory,and corporate financial statements consolidated theory,the paper studies Chinese governments how to consolidate financial statements and draw up consolidated financial statement standard.The paper also analyzes a variety of factors and effects that affect preparation of governmental consolidated financial statement.Finally,the paper proposes policies and suggestions for preparation of governmental consolidated financial statement to be fully implemented in China.After analyzing the current status and a series of key and difficult issues to be solved urgently governmental consolidated financial statement in China,those problems had also been experienced or are undergoing preparation of governmental consolidated financial statement by the leading countries.To this end,it is necessary to learn experiences and lessons of governmental consolidated financial statement from the United Kingdom,Australia,Sweden,and Italy.On this basis,the paper analyzes consolidation methods and area of consolidation.The paper also proposes how to compile Chinese governmental consolidated financial statement.The governmental financial statement consolidated standard is the benchmark for preparation of governmental consolidated financial statement.Under comparing governmental financial statement consolidated standard of different countries and organizations,the paper considers how to develop consolidated financial statement standard in China.On theoretical aspect,Chinese governmental financial statements consolidated standard maintains international convergence,drawing on experience of leading countries and enterprises,using reform government accounting results in China.On practical aspect,the provisions of governmental financial statement consolidated standard should be suitable for domestic conditions,including consolidation scope,consolidation procedures,offsets,consolidation principles,etc.Moreover,the paper conducts a questionnaire survey on the first-line financial officers trying to timely and accurately grasp the obstacles and incentives about preparation of governmental consolidated financial statements in China.On this basis,this paper constructs a structural equation model which affects compilation of governmental consolidated financial statements.Following that,the paper analyzes data with empirical research methods.The results confirm that barriers and incentives have a significant negative impact on preparation of governmental consolidated financial statements.However,the gain from preparation of government consolidated financial statements is relatively weaker.For the reason that,Chinese government not only overcomes the obstacles,but also pays attention to government financial report information in decision-making,performance evaluation,accountability,etc.Therefore,the paper puts forward targeted policies and suggestions. |
