The Study of Information Content of the Semiannual Consolidated Financial Reports

• Main Authors: Chia-Hua Lin, 林家華
• Other Authors: Hsueh-Fang Chien
• Format: Others
• Language: zh-TW
• Published: 2006
• Online Access: http://ndltd.ncl.edu.tw/handle/18535907758157229435

碩士 === 國立東華大學 === 企業管理學系 === 94 === This study examines the usefulness of semiannual consolidated financial statements in Taiwan. The study compares the information contents of the consolidated financial statements and the parents company’s financial statement by decomposing the earning components. The earning components are decomposed in two ways. The functional decomposition results in operating income and non-operating income. The fund-based decomposition results in cash flow from operational activities and accrual items. The sample includes all firms listed on the Taiwan Stock Exchange and those both consolidated and parent company’s financial statements are available at 2005. The sample consists of 561 companies. The empirical results are as follows. 1. For the non-financial industries, the empirical results support the hypothesis that the earning components of semiannual consolidated financial statements are more informative than those of parent company’s financial statements. 2. For the “Finance Holding Companies” and banks, the empirical results do not support the hypothesis that the earning components of semiannual consolidated financial statements are more informative than those from parent company’s financial statements. There hasn’t experience effect in using information of semiannual consolidated financial statements of the Finance Holding Companies.