Research On Other Comprehensive Income And Reclassification

Other comprehensive income,from the non-daily activities of the enterprise,the nature of the transactions are profit and loss transactions.In order to realize the continuing convergence of the reporting of other comprehensive income,the accounting standards for Enterprises No.thirtieth revision of the "financial statements"(CAS30),which is revised in China in 2014,has specified the presentation of OCI and defined the reclassification for the first time,so OCI has realizes the specification in accounting standards.But CAS 30(revised in 2014)didn't clearly define the concept of other comprehensive income,and the guidance of the substantive issues such as the identification and reclassification of the specific items has not given.This leads to the misusing of concepts of the OCI in practice,which is reflected in the financial reports of listed companies of other comprehensive income,so it causes widespread concerns in theory and practice.In this case,the research about the other comprehensive income of Listed Companies in China has some significant meanings in practice and in theory.In this paper after the comparative analysis of the United States generally accepted accounting principles(GAAP),international financial reporting standards(IFRS),accounting standards in China(CAS)and the related research achievements in theory,which is related to OCI,we try to discriminate the definition of OCI with other items from the nature of the transaction and try to clearly define the concept of other comprehensive income and form the recognition of the specific items after combining with the conceptual framework of IFRS which is published in 2013 to discuss the reclassification and adjustment of OCI in China.After the summary of the data of other comprehensive income which is from the A shares of listed companies in 2014 in China,we analyzes the existing problems and reasons,and for each problem,we choose a specific items to analysis.On this basis,we make the evaluation of the reporting of other comprehensive income in 2014 Shanghai A shares of listed companies as a whole,and we form the policy suggestions for the reporting of OCI from the angle of accounting practice.The analysis results show that:in 2014,there is nearly 20%listed companies has suspected reporting errors with other comprehensive income which exposed that the problem can not be ignored.The main problems are:the presentation format error,articulation damage,more or less lists of other comprehensive income items,no sufficient disclosure with note and error in the reclassification of OCI.Among them,the most prominent problem is the less listed other comprehensive income items,reflecting there is a big defect in the guidelines for other comprehensive income of the specific provisions of the project.At the same time,it also exposes the lack of sufficient attention to the representation of other comprehensive income.The main contributions of this paper are as follows:This paper will clear the definition of other comprehensive income gains and losses which is directly recorded in the owner's equity,and on this basis,we conclude the.transactions which is related to OCI in CAS,supplement and complete CAS30(revised in 2014).Based on the research of 2014 Shanghai A shares listed company for the first time in the implementation of the revised guidelines,our paper enriches the existing literature,and it is meaningful to the future development of other comprehensive income related standards and perfect enterprise.