| Summary: | 碩士 === 國立臺北大學 === 會計學系 === 97 === The complicated reinvestment structure among members of conglomerate keeps investors from viewing the overall financial status and operation results from the financial reporting of parent company. This is not helped with the existing dual financial reporting system of Taiwan where the parent company financial statements are taken as the main part and consolidated statement as the assisting part under current legislation. In view of this, this research tried to find out whether is significant difference between the financial statements of parent company and the consolidated financial statements which is enough to misleading the decision of investors, and it is also intended to probe the discrepancy of current financial reporting system of Taiwan as well as providing suggestions on certain main issues that may be encountered if the consolidated financial statements are adopted as the main part in the future financial reporting, so that the competent authorities may be advised in promoting the consolidated financial reporting system.
Conclusions and Suggestions of the Research are as following:
1.By disclosing concise financial statements of parent and its subsidiaries in the notes of consolidated financial reporting and extend the disclosure of departmental information, the insufficiency of general information in the consolidated financial reporting may be reinforced. Also, it will be helpful in promoting the comparability of consolidated financial reporting of different conglomerates to register financial reporting by adopting XBRL.
2.It is suggested that the current requirement of CPA auditing annual report shall be maintained and semi-annual and quarterly financial report shall be reviewed by CPA.
3.The reporting time lines for filing consolidated financial reporting shall be within 3 months for annual report, but competent authorities shall be authorized to provide grace period. For semi-annual and quarterly report, they are suggested to be filed within 45 days after end of the periods.
4.The timing of enforcing consolidated financial reporting is suggested to be synchronized with adopting IFRS and the subjects to be enforced shall be public companies.
5.It is suggested that competent authorities be authorized to define the control and establish the requirements in compilation of consolidate financial statements, and when it is not provided by competent authorities, GAAP shall be applied, so that there will not be 2 sets of consolidated financial statement at the same time, and to avoid future legislative amendment which is normally failed to catch up with the rapid change of economic environment.
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