Research On The Scope Of Consolidated Financial Statement Of The Merger By Contract

Consolidated financial statement is a difficult point in the study of accounting theory,and it is also one of the hot topics that the accounting theory and practice circles are paying close attention to.The determination of the scope of consolidation is the foundation and premise of consolidated financial statements.The determination of the scope of consolidation can clarify the boundaries of the consolidated financial statements.The accuracy of this scope will directly affect the integrity and usefulness of the information in the consolidated financial statements of the enterprise.At present,all major standard setting organizations use control as the basis for determining the scope of consolidation.China's Accounting Standards for Business Enterprises No.33-Consolidated Financial Statements also clearly stipulates that control is the standard defined by the scope of consolidation.However,complex corporate investments and innovative business models have made it difficult for enterprises to determine the scope of consolidation using control standards,and the scope of consolidation has become increasingly complex.The agreement control was first applied to Sina's listing in the United States.The overseas listed entities controlled the domestic business entities through the control agreement and met the requirements of the listed companies regarding the consolidated financial statements,thereby achieving indirect overseas listing.Different from the traditional equity control,the control agreement arrangement becomes the key element of the protocol control.The control agreement involves a wide range of content,including partnerships,parties acting in concert,delegation of voting rights,consulting services,and technology licensing.In addition,the form of agreement control is diversified,and the realization of control is more complicated.This poses new challenges for enterprises to make judgments and determine the scope of consolidation when compiling the consolidated financial statements.This article takes the scope of consolidation under the control of the agreement as the research object,and conducts research from both the criteria discussion and the practice analysis.First of all,starting with the connotation of merger theory and control,this paper clarify the framework of the determination of consolidation scope under the control of agreements,ie based on entity theory,substantive control is the criterion for judgment,and point out the key to confirm the scope of consolidation under the control of agreements.Then,this paper introduces the operating mode and the current status of merger by contact in practice,including analyzing the features and operation modes of the protocol control based on limited partnerships,concerted actors,voting rights delegation,and VIE,and integrates the accounting treatment of Shanghai A-share listed companies under the control of different types of agreements in 2014-2016 to reveal the status of merger control of the agreements.Besides,this article combines the theory of merger and substantive control,and the status quo of the merger of the agreement control,to analyze the problems existing in the scope of consolidation of the consolidated financial statements under the control of the agreement.At present,the main problem is the lack of persuasiveness on substantive control when using substantive control standards to determine the scope of consolidation,ignoring the impact of the legal risk of the agreement control on the scope of the merger,and the insufficient disclosure of relevant information on the agreement control,and apply the scope change to manage earnings.Finally,this article suggests that enterprises should make clear judgment standards of substantive control when judging the agreement-based control,and at the same time optimize the agreement arrangement and agreement control terms,improve the disclosure of related information under the control of the agreement,and strengthen the CPA's supervision on the scope of consolidation.