Research On The Impact Of The Implementation Of The New Lease Standards On The Telecom Industry

The development and changes of leasing are closely related to the steady growth of enterprises,and the formulation and implementation of new leasing standards have become a key issue for enterprises.The shortcomings in the old leasing standards have been around for a long time,and they do not fully reflect the true financial information of the enterprise.Based on the "risk-reward model" in the old leasing standards,scholars believe that this type of lease classification hides some financial information,which violates the concept of usefulness of accounting information in decision-making.Therefore,this article will conduct an in-depth study on China Unicom,a telecommunications company that actually implements the new leasing standard,and discovers the impact of the implementation of the new leasing standard on the company from China Unicom's financial statements,operations and strategies.Since the new leasing standard has just been implemented in 2019,the current research is more based on the establishment of a model based on assumptions to simulate the financial statements of the company to infer what impact the implementation of the new standard will have on the company.However,the new leasing standard has been implemented,and the researched and implemented enterprises will have more practical significance,and will be more helpful to put forward more reasonable recommendations on the actual situation.This article uses the financial statements of China Unicom in 2019 as a research sample,and uses modern property rights theory,usage rights theory and lease liability theory as the theoretical basis to study the impact of the implementation of the new leasing standard on corporate financial statements,operations and strategies.The following aspects are studied:(1)How will the implementation of the new leasing standard affect the company's financial statements?(2)Has the implementation of the new leasing standard changed the capital structure of the enterprise?(3)Will the implementation of the new leasing standards have an impact on the tax payment of enterprises?(4)How will the implementation of the new leasing standard affect the financing and strategic decisions of enterprises?The study found that:(1)The implementation of the new leasing standard will improve the reliability of financial statement information.Some scholars established models before the implementation of the new leasing standard to simulate the implementation of the new standard.Most studies believe that the implementation of the new leasing standard will improve the reliability of financial statements,but will the reliability of financial information be improved after the actual implementation?The previous researchers did not conduct much research.The research conclusion of this paper shows that after the implementation of the new leasing standard,a large number of off-balance sheet assets will enter the balance sheet,the company ' s asset-liability ratio will increase,and some key financial indicators will change.Reliability.(2)The implementation of the new leasing standards will change the capital structure of the enterprise,and the recognition of right-of-use assets and lease liabilities will increase the long-term assets of the enterprise,thereby changing the capital structure of the enterprise.(3)The implementation of the new lease standard will affect the tax payment of the enterprise.The new lease standard and the current tax law have different ways of confirming depreciation and interest,which will cause the enterprise to generate deferred income tax.(4)The implementation of the new leasing standards will affect the financing and strategic decisions of the enterprise.According to the new leasing standards,all lease fees in future irrevocable lease contracts must be recognized as lease liabilities,which will increase the debt cost of the company,change the company's capital structure,increase the company's financing risk,and affect the strategic decision of China Unicom.The innovation and contribution of this research lies in: unlike most existing literatures,the establishment of models based on assumptions and other methods on the impact of new lease implementation on the arrival of enterprises is different.The report conducts research to discuss the impact of the actual implementation of the new leasing standards on telecommunications companies.