Improvement And Application Of The Income Statement Based On The Theory Of Comprehensive Income

The income statement as one of the financial statements which reflecting the performance of the enterprise has always been a hot research and discussion on the theoretical and practical circles. With the globalization of economy and the continuous development and improvement of capital market, the enterprise business is becoming more and more various, financial instruments emerge in endlessly, the traditional income statement which measured by the implementation principle, revenue and expense matching principle and the historical cost is more and more unable to meet the requirement of financial reporting information users. In order to make up for the inadequacy of traditional income statement, Since the 1980 s, foreign accounting standards setting bodies and scholars began to research the income statement for new hope to enhance the information content in the table by improving the presentation of the income statement, Comprehensive income arose at the historic moment. The presentation of comprehensive income can make up for the inadequacy of traditional income statement, reflect all earnings of enterprise, and provide more decision-making useful information.In the "Enterprise Accounting Standards No.30-Presentation of Financial Statements" which is newly revised in 2014, some new regulations about the presentation and the report project of the income statement have been made, and it requires reporting comprehensive income in the income statement. Although the newly revised standards improve the information content of the income statement and gradually achieve with the international convergence, but there are still some shortcomings. Therefore, how to improve the income statement of our country, in order to provide more decision-making useful information on the basis of the concept of fiduciary duty is satisfied, no matter in theory or practice it is of great significance.This article first comb the related theory and literature of comprehensive income, and then analyzes the new standard of reporting comprehensive income in the income statement is of great importance, also there are some defects in the income statement are analyzed, such as the presentation of operating profit in the definition of business and non-business is not clear, accounting elements are not comprehensive and so on, and for different problems to put forward some suggestions for improvement. Finally, improve the financial evaluation index which is based on the income statement, Dong feng Automobile Co. Ltd as an example of the improved income statement to presentation again, and analyze the financial evaluation index before and after improvement.