Research On The Application And Influence Of CAS 14 To Telecommunication Enterprises

Income is an important index to measure and evaluate the operating ability and financial status of enterprises.Under the background that revenue recognition is more and more difficult to adapt to the new profit model of enterprises,the International Accounting Standards Board and the Financial Accounting Standards Board issued the joint income standard,reformed the revenue recognition standard to solve the existing problems in the original standard,and then the Ministry of Finance issued the new CAS14,gradually realizing the international convergence of accounting standards.What are the defects in the application of the original revenue standards in the telecommunications industry? What changes will be made to the revenue recognition,presentation and disclosure of telecom enterprises after applying the new revenue standards? What impact will these changes have on companies and the telecommunications industry? Are there new problems with the impact? This paper will analyze this and give some suggestions for how enterprises should respond.By combing the literature of domestic and foreign researchers,it is found that both domestic and foreign scholars have published theoretical studies on the defects of original revenue recognition and revenue recognition based on contract,and put forward personal opinions on how to improve the income standards.Some scholars have analyzed the impact of the new income standards from the perspective of specific industries,but there is still a lack of a more systematic and complete research on the application and impact of the new income standards.Moreover,there is a lack of literature to analyze the impact of the financial data in the annual report implementing of the new income standard.This paper classifies and summarizes the current income standards and relevant data of the telecommunications industry,and explores the application and implementation of the "five-step" model of the new income standards in the telecommunications industry.Taking China Unicom as an example,the financial statements of 2017-2019 are compared to analyze the problems existing in the implementation of the old income standards and the changes in revenue recognition and measurement,presentation and disclosure.To judge the impact of changes in financial value on specific business,income structure,financial indicators,internal control,strategic investment and other aspects.Combined with the theoretical basis and relevant literature research results,judge whether the modification of the new income standard solves the existing problems and new problems that may arise.The innovation path is sorted out,and suggestions are put forward for the application and influence of the new income standard implemented by telecom enterprises.According to the research,the application of the new income standards makes the time point of revenue recognition and the way of apportionment clearer for telecom enterprises,which will effectively solve the problem of comparability reduction caused by different accounting treatment of various enterprise in the mixed sales business such as bundling sales and bonus points.The requirement of apportioning the transaction price according to the fair value ratio can make the income and cost of each business in the contract more proportional,and more accurately reflect the economic essence of the input and output of each business income.At the same time,complete and detailed disclosure of accounting information enables financial report users to make more effective economic decisions.However,there are still many problems to be solved,such as the high cost of compliance incurred by implementing the standards,the more subjective accounting estimation and judgment,the difficulty in predicting future financial data and cash flow,and the unclear standard of fair value judgment.