Analysis Of The Impact Of The Definition And Treatment Of The Nature Of Xiaomi's Convertible Redeemable Preference Shares

With the globalization of the economy,more and more trade activities are not confined to the domestic market.For multinational companies,referring to accounting standards of different countries may produce information deviation.The distinction between financial liabilities and equity instruments faces such dilemmas.Among them,the convertible redeemable preferred stock has some disputes on its nature definition and accounting treatment due to its diversity of terms.Which may cause the current running situation of the enterprise standards reflect the enterprise information and the unequal situation,in this case should be how to interpret corporate disclosure of financial information,and.according to some rules of the development of the perfect capital market opening,our company in the process of applicable rules if there is a real difficulty,bottleneck problems yet to be explored.As a goal in this paper,based on Xiaomi technology co.,LTD in May 2018 in HKSE published research and analyze the prospectus,combining both at home and abroad in recent years to IFRS GAAP and show the differences of theoretical research in practice,under the market environment in our country.through the two discriminant criteria and the differences of the financial tools,financial report and the actual operation results that the root cause of the different from the recognition,measurement,column type,disclosure rule of four directions to explore in the presence of differences,how financial instruments of the enterprise reasonable division and to evaluate the correct operating conditions,so as to put forward Suggestions for improvement.Based on the case study of xiaomi technology co.,LTD.,on the one hand,it can provide certain reference opinions for more enterprises facing financial status and actual operation inconsistency caused by the difference of standards,and reduce the problem consequences caused by the difference of standards;On the other hand,the case analysis results of this paper also provide ideas and reference for the convergence of accounting standards reform.