Establishment And Implementation Of Financial Reporting Objectives For Venture Capital Enterprises

With the continuous improvement of the modernization level of enterprise management, the proportion of manufacturing costs in manufacturing costs is increasing year by year, and the detailed items involved also develop towards diversification.

However, the current manufacturing cost allocation methods in China are mainly direct material cost ratio method, direct labor cost ratio method, direct manual labor ratio method and machine hour ratio method.

In practice, it is often a method of allocation at the end of the term to allocate all manufacturing costs that cannot be directly recognized to a certain allocation standard.

Its shortcomings are increasingly apparent: (1) allocate two or more kinds of expenses with the same distribution standard and the same method. There is no necessary causal relationship between the cost object and the allocation standard, and the result of distribution is contrary to reality.

(2) adopting a single allocation standard, the cost of products with high yield, low technical performance and low complexity will easily lead to higher cost burden, and the low cost of production, high technical performance and high complexity can not fully reflect the principle of benefiting. It is easy for internal management departments to focus their attention on a certain factor and ignore the management of other related factors.

Third, the quality of cost information is not high, which is not conducive to improving the management level of enterprises.

In order to meet the requirements of the new situation and overcome the drawbacks of the single allocation standard, the western accounting community put forward the activity-based costing method, which is based on the "homework", and the manufacturing cost is collected to different cost pools. Then the different cost libraries use their respective allocation standards to allocate the manufacturing costs, which greatly improves the authenticity of the cost calculation.

However, because the proportion of manufacturing expenses of enterprises in China has not yet reached the proportion required by ABC, and it still does not fully meet the applicable conditions required by activity-based costing, the author thinks that the reform of manufacturing cost allocation in Chinese enterprises should be based on the joint distribution method.

The meaning and basic requirements of the joint distribution method are divided into several categories according to the characteristics of all kinds of expenses in the manufacturing cost, and the reasonable criteria are chosen separately for distribution.

The criteria for selecting classification can be carried out according to the nature and purpose of manufacturing expenses. For example, some enterprises will divide manufacturing costs into four categories: one is the basic cost related to product process, the depreciation and repair cost of machinery and equipment, and so on, and the other is general expenses related to the organization and management of production, such as wages, welfare and office expenses of the workshop management personnel, and so on.

The first category can be allocated according to the ratio of machine hours. The second category can be allocated according to the ratio of direct labor hours. The third category can be allocated according to the ratio of product inspection times or the proportion of inspection hours. The fourth category can be allocated according to the ratio of raw material consumption or direct material cost.

The basic method of joint allocation method is to allocate manufacturing costs by joint allocation method. The basic method is to classify manufacturing costs first, then allocate them separately according to different allocation criteria, or allocate the standard first, then allocate them in a flexible way, such as the product of various distribution standards or the arithmetic average of the total number of distribution standards of various product allocation standards, etc. as the allocation standard). Two.

Example: a workshop produces three kinds of products: Class A, B and C. The total manufacturing cost is 12100 yuan a month, of which the basic cost is 4500 yuan, the general cost is 6000 yuan, the product inspection fee is 1000 yuan, and the material processing fee is 600 yuan.

A product consumes 80 hours of machine hours, 50 hours of labor hours and 150 kilograms of material. This month consumes 100 hours of machine hours, 100 hours of manual working hours and 250 kilograms of material, and the total consumption of machine parts is 120 hours, 150 hours of manual hours and 200 kilograms of materials.

In addition, this month, the quality inspection department made 5 sampling tests for the products, 3 sampling tests for the products and 2 sampling tests for the products. The production of 100 products, 30 products and 20 products were also produced this month.

Requirements: separately calculate the cost of manufacture of the three products (the amount of the allocation is taken integer).

Method 1: the manufacturing costs of different categories are allocated by different allocation criteria.

Method two: allocate the product of various distribution standards as a joint allocation standard.

Method three: the arithmetic mean of the proportion of product allocation standard to the total number of distribution standards is allocated as a joint distribution rate.

Method four: assign the standard arithmetic average of various product units to the joint distribution standard.

Through the above calculations, we can easily find that the results calculated by these four methods are still different. There are advantages and disadvantages to the allocation of manufacturing costs.

At the same time, using this method, the result of distribution is the most accurate and true.

The drawback is that the division of all kinds of expenses is more difficult, and it is difficult to find an objective division standard.

Method two: because there is no need to make classification of manufacturing costs, and at the same time, when calculating the joint allocation standard, we use all kinds of allocation standards to multiply, and consider the weight of each allocation standard comprehensively, so it is more scientific.

However, because this method requires direct multiplication of various allocation criteria when calculating the joint allocation standard, this will lead to increased computation. Because there is no specific consideration of the weights of various product allocation criteria, the calculation results are quite deviant. Compared with the method, the absolute deviation is about 2154 yuan (2051-2850 5127-4050 + 5127-4050).

Three the arithmetic average of the total proportion of the distribution standard is allocated by the arithmetic average of various product distribution standards as the joint allocation rate, taking into account the advantages of the method two, and simplifying the workload of the cost calculation, and the calculation results are closer to the reality. Compared with the method one, the absolute deviation is about 1750 yuan (the calculation method is the same).

The method four distributes the product of the arithmetic mean and output of each product unit as the distribution coefficient and takes into account the weights of various distribution standards. Therefore, the calculation results are more objective and close to reality, and the absolute deviation is about 936 yuan compared with the method (calculation method is the same as above).

1. evaluation of the joint allocation method, the allocation of manufacturing costs by the joint allocation method has greatly improved the authenticity and accuracy of the cost information of 1..

Under the joint distribution method, the manufacturing cost is divided into several categories, and the different types of manufacturing cost selection and the most closely distributed standard take full account of the diversity and complexity of manufacturing cost items, the correlation between cost and cost objects, to a certain extent, overcome the defects of traditional allocation standards, make cost calculation more realistic, and improve the authenticity and accuracy of cost information.

2. is conducive to cost control.

The traditional allocation standard blurs the causality between cost and cost objects. Under the joint allocation method, all kinds of manufacturing costs choose the most relevant distribution standards, which closely influence the objective causality between cost and cost objects, improve the attributable property of cost, and facilitate cost analysis and cost control.

3. meets the principle of cost-effectiveness.

The relevant information required by the joint allocation method can be obtained in the existing cost accounting system, without the establishment of a new cost accounting system, which saves the cost of cost allocation and accords with the principle of cost effectiveness.

4. is forward-looking.

The joint allocation method classifications the manufacturing cost according to the project, and according to the objective causality, the allocation standard is similar to the activity-based costing. When the time and conditions of the activity-based costing are not yet ripe, it can be regarded as the preparatory work for the pition to the activity-based costing method, laying the foundation for the application of the activity-based costing and creating conditions.

The establishment of financial reporting objectives of venture capital enterprises is also called venture capital. It refers to investors who invest in assisting entrepreneurs who have specialized knowledge and strategic vision and have no own capital to undertake business and undertake venture risks of entrepreneurial failure.

Venture capitalists, through the preparation of venture capital enterprises, recruit professional managers to conduct investment opportunities evaluation and assist the operation and management of the invested enterprises, so as to promote the early realization of investment returns and reduce the overall investment risk.

As the organizer and manager of venture capital, venture capital enterprises are the links between investors and hi-tech enterprises. On the one hand, they attract funds from different fund investors. On the other hand, they are responsible for investing funds in high-tech ventures and collecting financing functions and investment functions.

The risks it faces are very complex. Besides investment risk, financing risk and management risk, there are risks from venture capital investors.

It can be seen that the characteristics of venture capital enterprises are different from those of traditional enterprises. The goal of financial reporting should be consistent with the requirements of "effective management information view", that is: 1, provide information that helps to evaluate the management capability and performance of managers in venture capital enterprises.

The main function is to help the venture capital fund holders to decide whether to dismiss the senior managers of venture capital enterprises and decide their remuneration packages, so as to help the managers of venture capital enterprises decide the retention and remuneration of researchers and managers of venture capital projects.

The 2 is to help reduce the uncertainty of venture capital fund holders' future risks, and then make information about whether or not to hold or buy or sell venture capital funds.

This information must be about the future and include future opportunities, risks, markets and profits related to venture capital projects.

Two, the functional defects of the current financial report for venture capital decision making, the lack of 1.'s current financial report on risk information.

The high risk, high growth and high return of the venture capital enterprise determines its risk is not only related to the interests of investors, but also affects the investment decisions of investors with different risk preferences. Therefore, the risk information of venture capital enterprises plays a very important role in the financial reporting information, and its financial reports should fully disclose the risk information of their investment projects, so as to reduce the risk of investors' decision-making.

However, due to the strict standards of recognition, many useful information is excluded from the financial statements.

That is to say, the traditional mode of financial statement is based on the confirmation.

Those who are able to confirm can enter the report; those who do not confirm can not enter the report.

Although risks exist widely in the production and operation process of enterprises, because of its inmeasurability, the current financial reports seldom disclose the risk information, but only require the listed companies to disclose the risk factors in their prospectus.

This is a major flaw in the current financial report.

2. current financial report fails to fully reflect human capital information.

Besides providing funds for venture capital investors, venture capitalists are also involved in the management of start-up companies to ensure the company's rapid development and maximum returns.

This requires financial reports to provide users with information about the competence of senior managers and core technicians of venture enterprises, venture capital enterprises.

The current financial report mainly provides information on the use of property and its results, and does not reflect the changes in the economic environment properly.

Such as intellectual capital and human resources are creating more and more wealth for us, but these contents are not reflected in the financial statements.

It can be said that the current financial report's reflection on human capital is incomplete.

As pointed out by the AAA audit committee, the flaw in the current financial report is the serious incompleteness of accounting information.

3. current financial reports do not adequately reflect forward-looking information.

Forward-looking information refers to the ex ante assessment of the future business environment, development direction and business performance of an enterprise manager or other related statements.

For venture capital firms, forward-looking information is very important.

Because the risks of venture capital enterprises are mainly reflected in the unsuccessful research and development of investment projects, and the uncertain earnings after successful research and development.

This determines that forward-looking information is of great help in reducing uncertainty in decision-making.

However, the current financial reports provide historical information, which is not realistic in many cases.