Study On Improvement Of Financial Performance Report

With the coming of knowledge economy in 21 century, the great improvement in high-technology leads to international economy prosperity, and the innovation of finance brings tremendous risks, which makes accounting face endless problems and challenges. Because some businesses and projects out of capital-debt table are increasing, the traditional financial reports can't give useful accounting information completely, therefore the demand for revolution in financial reports is rising day by day. The accounting specialist and practice provide many suggestions, but all kinds of suggestions don't form uniform sight.From the improvement trend of financial report in the world, standard- setting boards began to improve the traditional financial performance report. For example, ASB added the statement of total recognized gains and losses outside the traditional income statement. FASB put the comprehensive income statement into the system of financial report. IASC requested the enterprises report all recognized gains and losses. The G4+1 thought the enterprises' financial performance report should be listed in the financial performance report that is expanded.On the basis of introduction and estimate of the suggestion of the standard-setting bodies, the paper provides two suggestions to our countries' financial performance report in current conditions. One is adopting two statements to report our countries' financial performance report, i.e. on the basis of applying income statement to report realized gains and losses, we add comprehensive income statement to report unrealized gains and losses. The other is respectively disclosing regular and irregular gains and losses according to persistent standard. The paper contains three parts.Chapter 1 expounds the basic theory of performance report and challenges of traditional income statement. Firstly on the basis of citing the basic concept of earnings, it expounds the basic theory of comprehensive income statement from four aspects.Chapter 2 introduces international trends of the reform of financial performancereport. The first part introduces in detail ASBs FASB> IASC and G4+l's modes to report comprehensive income. The second part evaluates the sameness and difference to the reform of financial performance report.Chapter 3 provides two suggestions to our countries' financial performance report. One is adding comprehensive income statement to report unrealized gains and losses, the other is respectively disclosing regular and irregular gains and losses.