Research On Presentation Of Financial Statements

Financial reporting is the communication of corporate accounting information, whichdemonstrates a comprehensive description of the corporate operation situation in agiven period. As a core part in financial reporting, the financial statements play acritical role in reflecting the corporations’ current operation situation, transmitting theuseful financial information for investment. Nevertheless the current presentation offinancial statements remains imperfections. More specifically, for those who areunfamiliar to the financial positions of enterprise; the financial information providedby the financial reporting plays a lesser rol（esome researchers illustrate that the usefulfinancial information transmitted by financial reporting cannot reach to50%of theefficient financial information）,even more remarkable, it may mislead financialreporting users to make false decisions. This dissertation researches the presentationof financial reporting in China. The purpose of this dissertation is improving thequality of financial statements; thereby it is benefit to financial reporting users tomake useful decisions. Furthermore, it promotes the development of capital marketsin China.There are five chapters in this dissertation. The first chapter illustrates the purpose ofthis paper and describes the existed researches both domestic and overseas. Thesecond chapter describes the theory of accounting, the definition and qualityrequirements of financial reporting, besides these, this dissertation conducts ananalysis of financial reporting users. From the perspective of financial reporting users,this paper introduces the information asymmetry theory, efficient market andinformation disclosure theories. The third chapter reviews the history of financialreporting presentations. This chapter also conclude the current situation of financialpositions refer to the latest implementing “Corporate Standards”.From theperspective of market environment and national policy, this chapter analyzes thefactors which have an impact on the development of financial reporting in China.Combined with the previous chapters, the forth chapter puts forward some suggestions, then discusses the feasibility of the recommendations in theory andpractice. The fifth chapter is the summary of this dissertation, which summaries thispaper. The contribution of this dissertation is to break the inherent way of presentation,which builds the relationship among the balance sheet，the income statement and thecash flow statement.