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A senior accounting personnel told this reporter, ghd australia first quarter results back, benefit from the beginning from the enforcement of the new enterprise accounting principles ". In the old and new accounting standards when converting, involving will cost some project GHD capitalization, this makes its 2007 quarter statements have been affected. Such as originally all included in the current profits and losses of the research and development costs, the new guidelines allow one section of the development phase the capitalization of the conditions for the research and development spending large profits GHD will produce some change.

In 2006, the research and development ghd outlet management cost is 1. 47 million yuan, and in 2007 a quarter, this subject is 120000 yuan only. For another example, the capitalization of the borrowing costs range was expanded, meet the conditions of the cost can be included in the engineering project cost and production time longer inventory, reduce the financial costs. 2007 quarter, GHD interest expenses for 0. In addition, the management fee and sales cost greatly reduced still result from the transfer of the cost to the business. 2007 quarter, GHD operating costs up not down, accounting for 78.2% of revenue, more than 75.6% in 2006, 67% in 2005 and the high cost.

The new guidelines, employee compensation according to benefit object ghd wholesale distribution plan enter cost or included in the profit and loss,http://www.ghdstraighteneraux2012.com/ not like the original so union funds, education funds all these included in the management cost. In 2006, the labor GHD union funds, education funds three subjects accounted for 23% of the expenses incurred for the management, and in 2007 a quarter, the figure dropped to 7. 8%; also, the cost of sales GHD wage and welfare funds last year by $228000 quarter fell to average 110000 yuan this year.

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