Securities code: 301111 securities abbreviation: Guangdong Jiangxi Wannianqing Cement Co.Ltd(000789) Announcement No.: 2022014 Guangdong Jiangxi Wannianqing Cement Co.Ltd(000789) Pharmaceutical Co., Ltd
Announcement on changes in accounting policies
The company and all members of the board of directors guarantee that the information disclosed is true, accurate and complete without false records, misleading statements or major omissions.
Special tips:
This accounting policy change is a corresponding change made by Guangdong Jiangxi Wannianqing Cement Co.Ltd(000789) Pharmaceutical Co., Ltd. (hereinafter referred to as "the company") in accordance with the relevant standards revised and issued by the Ministry of finance, and will not have a significant impact on the company's financial position, operating results and cash flow.
1、 Overview of changes in accounting policies
(I) date and reason of change
1. On December 7, 2018, the Ministry of finance of the people's Republic of China (hereinafter referred to as the "Ministry of finance") issued the revised accounting standards for Business Enterprises No. 21 - leasing (CAI Kuai [2018] No. 35) (hereinafter referred to as the "new leasing standards"), requiring enterprises listed at home and abroad and enterprises listed abroad to prepare financial statements using international financial reporting standards or accounting standards for business enterprises, Effective from January 1, 2019; Other enterprises that implement the accounting standards for business enterprises shall be implemented as of January 1, 2021.
2. On January 26, 2021, the Ministry of Finance issued the interpretation of accounting standards for Business Enterprises No. 14 (CAI Kuai [2021] No. 1, hereinafter referred to as "Interpretation No. 14"), which shall come into force as of the date of promulgation. The relevant newly added businesses from January 1, 2021 to the implementation date shall be adjusted according to Interpretation No. 14.
3. On December 30, 2021, the Ministry of Finance issued the interpretation of accounting standards for Business Enterprises No. 15 (CAI Kuai [2021] No. 35, hereinafter referred to as "Interpretation No. 15"), the contents of Interpretation No. 15 "accounting treatment for the external sales of products or by-products produced before the fixed assets reach the expected serviceable state or in the process of R & D" and "judgment on loss contracts" shall be implemented as of January 1, 2022; The content of "relevant presentation on centralized fund management" shall go into effect as of the date of promulgation.
According to the above requirements, the company decided to implement the new accounting standards and change the corresponding accounting policies from the specified date.
(II) accounting policies adopted before change
Accounting standards for business enterprises - basic standards, various specific accounting standards, application guidelines of accounting standards for business enterprises, interpretation announcement of accounting standards for business enterprises and other relevant provisions issued by the Ministry of finance.
(III) accounting policies adopted after change
After this accounting policy change, the company will implement the new leasing standards, Interpretation No. 14 and Interpretation No. 15 revised and issued by the Ministry of finance. Other unchanged parts shall still be implemented in accordance with the relevant provisions of the original accounting policies.
2、 Changes in accounting policies and their impact on the company
(I) new lease criteria
According to the provisions of the new lease standards, for contracts that exist before the first execution date, the company chooses not to reassess whether they are leases or include leases on the first execution date. For the lease contract with the company as the lessee, the company chooses to adjust only the cumulative impact of the lease contract that has not been completed on January 1, 2021.
The company adopts simplified treatment for the operating lease whose leased assets are low-value assets before the first execution date or will be completed within 12 months, and the right to use assets and lease liabilities are not recognized.
The lease contracts not completed by the company on the first implementation date of the new lease standards are all operating leases to be completed within 12 months, which are simplified, so they have no impact on the retained earnings and other relevant items in the financial statements on January 1, 2021.
(II) Interpretation No. 14
The company has implemented Interpretation No. 14 since January 1, 2021. Interpretation No. 14 requires the cumulative impact of the first implementation of the interpretation to be adjusted. The amount of retained earnings and other relevant items in the financial statements at the beginning of the year of the first implementation (i.e. January 1, 2021) will not be adjusted for the information of comparable periods. This standard has no impact on the company.
(III) Interpretation No. 15
The company has implemented the interpretation since the date of promulgation, and the implementation of the interpretation has not had a significant impact on the financial status and operating results of the company.
3、 Opinions of the board of directors
The company held the sixth meeting of the second board of directors on April 21, 2022, deliberated and approved the proposal on accounting policy change, and agreed to change the accounting policy according to the accounting standards revised and issued by the Ministry of finance. The implementation of the new accounting policy has no significant impact on the company's financial status and operating results, and there is no situation that damages the interests of the company and all shareholders.
4、 Opinions of independent directors
After verification, the change of accounting policy is a reasonable change in accordance with the provisions issued by the Ministry of finance, which can objectively and fairly reflect the company's financial status and operating results and will not have a significant impact on the financial report. The decision-making procedure of this accounting policy change complies with the provisions of relevant laws, regulations and the articles of association, and does not harm the interests of the company and shareholders. Therefore, we unanimously agree that the company will make this accounting policy change.
5、 Documents for future reference
1. Resolutions of the sixth meeting of the second board of directors;
2. Independent opinions of independent directors on matters related to the sixth meeting of the second board of directors.
It is hereby announced.
Board of directors of Guangdong Jiangxi Wannianqing Cement Co.Ltd(000789) Pharmaceutical Co., Ltd
April 25, 2022
