TigerResearch/tigerbot-earning-plugin huggingface dataset:
(4) Select samples to check the project engineering details of the main project, subcontracted labor approval forms, and the owner's production value approval documents and records to verify the contract costs incurred.
(5) Select samples to check if the relevant contract costs are recorded in the appropriate accounting period.
(6) Select a sample to conduct a site inspection of the progress of the project image to verify the reasonableness of the project's performance schedule.
(2) Measurement of fair value of investment real estate
For related information disclosure, please refer to Note III, 15, Note V, 15 (2), Note V 52 and Note IX of the financial statements.
As of Saturday, December 31, 2022, the book balance of the investment real estate of Fangda group which adopts the fair value model for subsequent measurement is 5.751 billion yuan, accounting for 45.12% of the total assets. The income from
changes in fair value realized in the current period is RMB-10,000,000 which has a great impact on the financial indicators of the Group's consolidated statements.
The management of Fangda Group annually employs a third-party assessment agency with relevant qualifications to
evaluate the fair value of the investment real estate. The evaluation adopts the market comparison method and the income method to comprehensively analyze various factors that affect the real estate price of the appraisal subject. The assessment of the fair value of investment real estate involves many estimates and assumptions, such as the analysis of the economic environment and future trends of the real estate where the investment real estate is located, discount rates, etc. The changes in estimates and assumptions will have big impacts on the fair value of the investment real estate evaluated. Therefore, we identify the measurement of fair
value of investment real estate as a key audit matter.
Our audit procedures for the measurement of fair value of investment real estate mainly include:
(1) Assess the competency, professional quality, independence and objectivity of third-party assessment agencies employed by the management.
(2) Obtain the assessment report, selected major or typical samples, and use our real estate appraisal experts to review and review the assessment methods and assumptions used in the assessment report and the rationality of the selected key assessment parameters. Check the accuracy and relevance of the data used by the management in valuation.
(3) Review the measurement, presentation and disclosure of fair value of investment real estate in the financial statements.
(III) Measurement of expected credit loss of accounts receivable and contract assets
For related information disclosure, please refer to Note III, 9, Note V, 5, Note V, 10 and Note V, 22 of the financial statements.
As of December 31, 2022, the total amount of accounts receivable of the company was RMB1.058 billion, the provision for bad debts accrued was RMB226 million, the total amount of contract assets of the company was RMB2.457 billion, the provision
for impairment accrued was RMB1.99 billion, and the total amount of accounts receivable and contract assets accounted for 24.25% of the total assets. Due to the large amount of accounts receivable and contract assets of Fangda group, the management needs to use important accounting estimation and judgment when determining the expected recoverable amount of accounts receivable and contract assets, and the expected credit loss of accounts receivable and contract assets is important for financial statements.
Therefore, we determine the measurement of expected credit loss of accounts receivable and contract assets as the key audit accounting matters.
(1) Understand and evaluate the effectiveness of internal control design related to the provision for bad debts of accounts receivable and provision for impairment of contract assets of Fangda Group, and test the effectiveness of key control operation.
(2) Review the relevant considerations and objective evidence of the management's credit risk assessment of accounts receivable and contract assets, and evaluate whether the management has properly identified the credit risk characteristics of various accounts receivable.
(3) Review the accrual process of bad debt provision for accounts receivable and impairment provision for contract assets of the management, including: 1for accounts receivable and contract assets that measure expected credit loss based on portfolio, evaluate the rationality of the management's division of portfolio according to credit risk characteristics; Check the measurement model of expected credit loss and evaluate the rationality of major assumptions and key parameters in the model; Obtain the comparison table between the aging of accounts receivable and the expected credit loss rate for the whole duration prepared by the management, and test the accuracy and integrity of the data used by the management and whether the calculation of bad debt reserves is accurate; 2For accounts receivable and contract assets with individual provision for expected credit loss, review the accuracy and rationality of the information and relevant assumptions used by the management in the test process; Check the accuracy of the provision for impairment of accounts receivable and contract assets with long aging, accounts receivable and contract assets involving litigation matters.
(4) According to the characteristics and nature of customer transactions, select samples to implement the accounts receivable confirmation procedure and check the collection after the period, and evaluate the rationality of the provision for bad debts of accounts receivable.
4. Other information
The management of Fangda Group (hereinafter referred to as management) is responsible for other information. The other information includes the information covered in Fangda Group's 2022 annual report, but does not include the financial statements and our audit report.
Our audit opinions published in the financial statements do not cover other information and we do not publish any form of assurance conclusion on other information.
In connection with our audit of the financial statements, our responsibility is to read other information. In the process, we consider whether there is a material inconsistency or other material misstatement of other information whether it is in the financial statements or what we have learned during the audit process.
Based on the work we have performed, if we determine that there is a material misstatement of other information, we should report that fact. In this regard, we have nothing to report.
5. Executives' responsibilities on the Financial Statements
(1) Preparing these financial statements according to the Accounting Standards for Business Enterprises and presenting them fairly; (2) designing, implementing and maintaining necessary internal control to make sure that these financial statements are free from material misstatement, whether due to fraud or error.
In the preparation of the financial statements, the management is responsible for assessing Fangda Group's ability to continue as a going concern, disclosing issues related to going concern (if applicable), and applying the going concern assumption unless management plans to liquidate Fangda Group, terminate operations or there are no other realistic choices.
The management is responsible for overseeing the financial reporting process of Fangda Group.
6. Auditor's responsibility for auditing financial statements
Our objective is to obtain reasonable assurance as to whether the entire financial statements are free from material misstatement due to fraud or error and to issue an audit report containing audit opinions. Reasonable assurance is a high level of assurance, but it does not guarantee that an audit performed in accordance with auditing standards can always be discovered when a major misstatement exists. The report may be due to fraud or mistakes, and if a reasonable expectation of misstatement alone or aggregated may affect the economic decision-making made by users of financial statements based on the financial statements, the misstatement is generally considered to be material.
In the process of conducting audit work in accordance with auditing standards, we use professional judgment and maintain professional suspicion. At the same time, we also perform the following tasks:
(1) Identify and assess risks of material misstatement of financial statements due to fraud or errors, design and implement audit procedures to address these risks, and obtain adequate and appropriate audit evidence as a basis for issuing audit opinions. As fraud may involve collusion, forgery, willful omission, misrepresentation or override of internal control, the risk of not discovering a material misstatement due to fraud is higher than the risk of not discovering a material misstatement resulting from a mistake.
(2) Understand audit-related internal controls to design appropriate audit procedures.
(3) Evaluate the appropriateness of accounting policies adopted by the management and the reasonableness of accounting estimates and related disclosures.
(4) Conclude on the appropriateness of management's use of continuing operations assumptions. At the same time, based on the audit evidence obtained, it concludes that whether there are major uncertainties in the matters or circumstances that may cause major doubts about the ability of the Company's continuing operations. If we conclude that there are significant uncertainties, the auditing standards require us to request the users of the report to pay attention to the relevant disclosures in the financial statements in the audit report; if the disclosure is not sufficient, we should publish non-unqualified opinions. Our conclusions are based on the information available as of the date of the audit report. However, future events or circumstances may result in Fangda Group's inability to continue operating.
(5) Evaluate the overall presentation, structure, and content of the financial statements and evaluate whether the financial statements fairly reflect the relevant transactions and events.
(6) Obtain sufficient and appropriate audit evidence on the financial information of entity or business activities in Fangda Group to express opinions on the financial statements. We are responsible for directing, supervising and executing group audits and assume full responsibility for audit opinions.
We communicate with the governance team on planned audit scope, timing, and major audit findings, including communication of the internal control deficiencies that we identified during the audit.
We also provide a statement to the management on compliance with ethical requirements related to independence, and communicate with the management on all relationships and other matters that may reasonably be considered to affect our independence, as well as related preventive measures (if applicable).
From the matters passed with the management, we determine which items are most important for the audit of the financial statements of the current period and thus constitute the key audit matters. We describe these matters in our audit report, unless laws and regulations prohibit the public disclosure of these matters, or in rare cases, if it is reasonably expected that the negative consequences of communicating something in the audit report will outweigh the benefits in the public interest, we determine that such matter should not be communicated in the audit report.
RSM China
(limited liability partnership)
Xie Peiren (project partner)
Zeng Hui
Beijing, China CPA:
Hu Gaosheng
February 24, 2023
Unit for statements in notes to financial statements: RMB yuan
Prepared by: China Fangda Group Co., Ltd.
December 31, 2022
Item| December 31, 2022| January 1, 2022
 Current asset:||
 Monetary capital|1,238,754,216.50|1,287,563,759.32
 Settlement provision||
 Outgoing call loan||
 Transactional financial assets||25,135,241.89
 Derivative financial assets|789,205.34|1,069,587.62
Notes receivable|130,428,554.49|166,377,880.01
 Account receivable|832,292,348.17|556,453,824.20
 Receivable financing|1,338,202.01|4,263,500.00
 Prepayment|20,631,650.59|23,022,485.03
 Insurance receivable||
 Reinsurance receivable||
 Provisions of Reinsurance contracts receivable||
Other receivables|155,379,024.22|165,093,406.23
 Including: interest receivable||
 Dividend receivable||
 Repurchasing of financial assets||
 Inventory|710,532,397.32|733,280,924.98
 Contract assets|2,158,860,658.43|1,782,947,673.13
 Assets held for sales||
Non-current assets due in 1 year||
 Other current assets|200,981,963.60|264,786,506.29
 Total current assets|5,449,988,220.67|5,009,994,788.70
 Non-current assets:||
 Loan and advancement provided||
 Debt investment||
 Other debt investment||
Long-term receivables||
 Long-term share equity investment|54,969,042.14|55,218,946.14
 Investment in other equity tools|11,968,973.86|14,180,652.65
 Other non-current financial assets|7,507,434.68|7,525,408.24
 Investment real estate|5,760,517,577.11|5,765,352,393.13
 Fixed assets|646,812,853.36|663,414,297.61
 Construction in process||11,642,444.21
Productive biological assets||
 Gas & petrol||
 Use right assets|19,449,693.40|31,440,856.54
 Intangible assets|72,679,444.26|75,199,712.83
 R&D expense||
 Goodwill||
 Long-term amortizable expenses|9,744,661.01|5,388,770.22
Deferred income tax assets|220,060,976.88|214,123,733.00
 Other non-current assets|491,486,416.65|407,856,515.39
 Total of non-current assets|7,295,197,073.35|7,251,343,729.96
 Total of assets|12,745,185,294.02|12,261,338,518.66
 Current liabilities||
 Short-term loans|1,318,238,522.78|1,287,474,398.65
 Loans from Central Bank||
Call loan received||
 Transactional financial liabilities||
 Derivative financial liabilities|293,400.00|11,871.20
 Notes payable|734,890,208.56|849,445,299.09
 Account payable|1,718,036,375.78|1,343,123,485.97
 Prepayment received|1,439,653.84|1,280,482.93
 Contract liabilities|207,993,671.55|180,186,877.15
Selling of repurchased financial assets||
 Deposit received and held for others||
 Entrusted trading of securities||
 Entrusted selling of securities||
 Employees' wage payable|67,150,863.91|69,071,013.95
 Taxes payable|85,827,331.09|67,280,647.22
 Other payables|113,425,377.70|126,903,098.08
Including: interest payable||
 Dividend payable||
 Fees and commissions payable||
 Reinsurance fee payable||
 Liabilities held for sales||
 Non-current liabilities due in 1 year|83,778,647.06|78,418,557.76
 Other current liabilities|48,133,198.49|48,098,361.77
Total current liabilities|4,379,207,250.76|4,051,294,093.77
 Non-current liabilities:||
 Insurance contract provision||
 Long-term loans|1,263,500,000.00|1,333,500,000.00
 Bond payable||
 Including: preferred stock||
 Perpetual bond||
Lease liabilities|6,907,456.55|19,152,093.31
 Long-term payable|197,640,219.18|183,640,219.18
 Long-term employees' wage payable||
 Anticipated liabilities|3,372,553.84|6,347,809.40
 Deferred earning|8,999,880.44|9,566,525.60
 Deferred income tax liabilities|1,065,172,771.00|1,066,631,858.80
 Other non-current liabilities||
Total of non-current liabilities|2,545,592,881.01|2,618,838,506.29
 Total liabilities|6,924,800,131.77|6,670,132,600.06
 Owner's equity:||
 Share capital|1,073,874,227.00|1,073,874,227.00
 Other equity tools||
 Including: preferred stock||
 Perpetual bond||
Capital reserves|11,459,588.40|11,459,588.40
 Less: Shares in stock||
 Other miscellaneous income|31,986,716.79|35,325,871.78
 Special reserves||
 Surplus reserve|79,324,940.43|79,324,940.43
 Common risk provisions||
 Retained profit|4,553,295,402.30|4,324,055,259.33
Total of owner's equity belong to the parent company|5,749,940,874.92|5,524,039,886.94
 Minor shareholders' equity|70,444,287.33|67,166,031.66
 Total of owners' equity|5,820,385,162.25|5,591,205,918.60
 Total of liabilities and owner's interest|12,745,185,294.02|12,261,338,518.66
Legal representative: Xiong JianmingCFO: Lin KebingAccounting Manager: Wu Bohua
2. Balance Sheet of the Parent Company
Item| December 31, 2022| January 1, 2022
 Current asset:||
 Monetary capital|87,710,288.64|111,848,536.84
 Transactional financial assets||
 Derivative financial assets||
 Notes receivable||
 Account receivable|647,944.58|585,936.30
Receivable financing||
 Prepayment|277,763.31|212,807.30
 Other receivables|1,046,500,428.02|1,276,731,665.95
 Including: interest receivable||
 Dividend receivable||
 Inventory||
 Contract assets||
Assets held for sales||
 Non-current assets due in 1 year||
 Other current assets|1,395,020.37|1,460,846.55
 Total current assets|1,136,531,444.92|1,390,839,792.94
 Non-current assets:||
 Debt investment||
 Other debt investment||
Long-term receivables||
 Long-term share equity investment|1,457,331,253.00|1,196,831,253.00
 Investment in other equity tools|11,968,973.86|14,180,652.65
 Other non-current financial assets|30,000,001.00|30,000,001.00
 Investment real estate|333,236,768.00|329,471,982.00
 Fixed assets|66,203,194.37|71,830,252.61
 Construction in process||
Productive biological assets||
 Gas & petrol||
 Use right assets|12,055,734.65|17,224,771.47
 Intangible assets|1,038,211.65|1,219,737.85
 R&D expense||
 Goodwill||
 Long-term amortizable expenses|393,807.16|218,563.44
Deferred income tax assets|30,304,587.98|27,079,997.63
 Other non-current assets||
 Total of non-current assets|1,942,532,531.67|1,688,057,211.65
 Total of assets|3,079,063,976.59|3,078,897,004.59
 Current liabilities||
 Short-term loans|300,247,500.00|300,351,666.67
 Transactional financial liabilities||
Derivative financial liabilities||
 Notes payable||
 Account payable|803,645.08|606,941.85
 Prepayment received|820,758.71|858,019.63
 Contract liabilities||
 Employees' wage payable|3,444,985.79|3,909,857.23
 Taxes payable|353,816.35|3,447,040.12
Other payables|308,443,521.52|233,531,740.37
 Including: interest payable||
 Dividend payable||
 Liabilities held for sales||
 Non-current liabilities due in 1 year|3,613,300.13|4,264,397.66
 Other current liabilities|25,213.92|
 Total current liabilities|617,752,741.50|546,969,663.53
Non-current liabilities:||
 Long-term loans||
 Bond payable||
 Including: preferred stock||
 Perpetual bond||
 Lease liabilities|9,401,331.72|13,560,947.50
 Long-term payable||
Long-term employees' wage payable||
 Anticipated liabilities||
 Deferred earning||
 Deferred income tax liabilities|74,007,022.67|74,447,416.01
 Other non-current liabilities||
 Total of non-current liabilities|83,408,354.39|88,008,363.51
 Total liabilities|701,161,095.89|634,978,027.04
Owner's equity:||
 Share capital|1,073,874,227.00|1,073,874,227.00
 Other equity tools||
 Including: preferred stock||
 Perpetual bond||
 Capital reserves|360,835.52|360,835.52
 Less: Shares in stock||
Other miscellaneous income|-1,106,214.97|-520,786.11
 Special reserves||
 Surplus reserve|79,324,940.43|79,324,940.43
 Retained profit|1,225,449,092.72|1,290,879,760.71
 Total of owners' equity|2,377,902,880.70|2,443,918,977.55
 Total of liabilities and owner's interest|3,079,063,976.59|3,078,897,004.59
Item|2022|2021
1. Total revenue|3,846,975,948.44|3,557,724,397.54
 Incl. Business income|3,846,975,948.44|3,557,724,397.54
 Interest income||
 Insurance fee earned||
 Fee and commission received||
2. Total business cost|3,455,330,616.20|3,318,923,983.34
Incl. Business cost|2,917,753,967.52|2,761,300,557.48
 Interest expense||
 Fee and commission paid||
 Insurance discharge payment||
 Net claim amount paid||
 Net insurance policy responsibility contract reserves provided||
 Insurance policy dividend paid||
Reinsurance expenses||
 Taxes and surcharges|66,953,438.48|72,326,973.99
 Sales expense|54,970,163.01|59,877,614.73
 Administrative expense|157,138,338.83|169,443,658.83
 R&D cost|161,812,913.02|152,973,582.38
 Financial expenses|96,701,795.34|103,001,595.93
 Including: interest cost|100,581,343.99|101,722,768.10
Interest income|23,892,574.84|16,575,629.28
 Add: other gains|13,909,584.57|14,032,939.09
 Investment gains ("-" for loss)|6,185,954.47|-1,459,334.05
 Incl. Investment gains from affiliates and joint ventures|-249,904.00|-683,431.81
 Financial assets derecognised as a result of amortized cost|-3,778,070.96|-6,336,161.86
 Exchange gains ("-" for loss)||
 Net open hedge gains ("-" for loss)||
Gains from change of fair value ("-" for loss)|-10,113,947.45|23,422,035.73
 Credit impairment ("-" for loss)|-34,635,724.91|-7,923,995.43
 Investment impairment loss ("-" for loss)|-35,575,418.55|7,181,339.41
 Investment gains ("-" for loss)|-1,421,880.09|-2,291,048.05
3. Operational profit ("-" for loss)|329,993,900.28|271,762,350.90
 Plus: non-operational income|1,403,387.89|2,209,180.56
 Less: non-operational expenditure|4,167,958.09|6,087,375.71
4. Gross profit ("-" for loss)|327,229,330.08|267,884,155.75
 Less: Income tax expenses|41,074,830.04|41,085,548.73
5. Net profit ("-" for net loss)|286,154,500.04|226,798,607.02
(1) By operating consistency||
1. Net profit from continuous operation ("-" for net loss)|286,154,500.04|226,798,607.02
2. Net profit from discontinuous operation ("-" for net loss)||
(2) By ownership||
1. Net profit attributable to the shareholders of the parent company|282,933,854.32|222,168,142.53
2. Minor shareholders' equity|3,220,645.72|4,630,464.49
6. After-tax net amount of other misc. incomes|-3,281,545.04|33,206,426.49
 After-tax net amount of other misc. incomes attributed to parent's owner|-3,339,154.99|33,247,704.15
(1) Other misc. incomes that cannot be re-classified into gain and loss|-1,658,759.09|-2,894,735.24
1. Re-measure the change in the defined benefit plan||
2. Other comprehensive income that cannot be transferred to profit or loss under the equity method||
3. Fair value change of investment in other equity tools|-1,658,759.09|-2,894,735.24
4. Fair value change of the Company's credit risk||
5. Others||
(2) Other misc. incomes that will be re-classified into gain and loss|-1,680,395.90|36,142,439.39
1. Other comprehensive income that can be transferred to profit or loss under the equity method||
2. Fair value change of other debt investment||
3. Gains and losses from changes in fair value of available-for-sale financial assets||
4. Other credit investment credit impairment provisions||
5. Cash flow hedge reserve|-477,624.42|-4,224,144.67
6. Translation difference of foreign exchange statement|1,238,329.43|-1,233,457.89
7. Others|-2,441,100.91|41,600,041.95
 After-tax net of other misc. income attributed to minority shareholders|57,609.95|-41,277.66
7. Total of misc. incomes|282,872,955.00|260,005,033.51
 Total of misc. incomes attributable to the owners of the parent company|279,594,699.33|255,415,846.68
Total misc gains attributable to the minor shareholders|3,278,255.67|4,589,186.83
8. Earnings per share||
(1) Basic earnings per share|0.26|0.21
(2) Diluted earnings per share|0.26|0.21
Net profit contributed by entities merged under common control in the report period was RMB0.00, net profit realized by parties merged during the previous period is RMB0.00.
4. Income Statement of the Parent Company
Item|2022|2021
1. Turnover|28,268,463.91|24,953,602.85
 Less: Operation cost|207,701.70|460,120.74
 Taxes and surcharges|1,047,368.79|1,324,210.97
 Sales expense||
 Administrative expense|32,282,732.92|32,607,874.44
 R&D cost||
Financial expenses|10,510,674.85|14,039,379.48
 Including: interest cost|10,543,271.85|13,931,266.37
 Interest income|1,232,336.85|695,036.74
 Add: other gains|160,960.32|97,873.78
 Investment gains ("-" for loss)|566,025.88|33,994,681.44
 Incl. Investment gains from affiliates and joint ventures||
 Financial assets derecognised as a result of amortized cost ("-" for loss)||
Net open hedge gains ("-" for loss)||
 Gains from change of fair value ("-" for loss)|-1,772,536.00|1,743,238.00
 Credit impairment ("-" for loss)|1,722,726.79|-3,072.04
 Investment impairment loss ("-" for loss)||
 Investment gains ("-" for loss)|-26,464.40|2,654.87
2. Operational profit ("-" for loss)|-15,129,301.76|12,357,393.27
 Plus: non-operational income|1,771.93|32,837.61