YL091203A22-2 Financial Performance of TCL DREAMER.docVIP

Financial Performance of TCL Introduction TCL Multimedia Technology Holdings Limited, an investment holding company, engages in the manufacture and sale of color television sets and other audio-visual products in Mainland China, North America, Europe, and internationally. It offers LCD TV, CRT TV, digital photo frames, digital camcorders, and DVD players under the TCL, RCA, and Thomson brands. The company also trades audio-visual products and components; and operates a distribution network in China. In addition, it involves in information technology and other businesses. The company is headquartered in Shenzhen, the People’s Republic of China. The purpose of financial statements Financial statements are the main components of the financial report; it plays an important role in accounting, mainly in the following areas: Firstly, Financial statements presents financial situation, operating results and cash flows over a certain period ,which is helpful for businessman and managers to get a full picture of the completion of the targets and evaluate the performance of management. By this method, they can detect problems and adjust direction, to think out measures to improve the management and economic efficiency of the company. All of the above share the same purpose --- to provide the evidence for economic forecasting and decision-making. Secondly, financial statements are conducive for department of national economic management to understand the status of the national economy. The collection and analysis of all updated data on the financial statements is beneficial to know and master economic development of various industries in different regions. In this way, macro-control of economy could be adopted to optimize the allocation of resources and ensure economic stability and sustainable development of a nation. Thirdly, Financial statements will help investors, creditors and other parties grasp the financial position, operating results and cash flows, and then anal