Analysis of Investment and Financing Decision of Dong Bo Bio Corporation based on Financial Statement Restructuring Perspective

Based on Yongqing Guo’s financial statement reconstruction theory, this study systematically analyzes Dong Bo Bio Corporationlogical Company’s investment and financing activities from 2014 to 2023, aiming to reveal its core problems in asset allocation, capital structure and efficiency, and to provide references for the enterprise’s optimization decisions. The study adopts the financial statement reconstruction method to reconstruct the balance sheet into an asset-capital statement, and combines with the cash flow statement to analyze the resource allocation and benefits. The results show that Dong Bo Bio Corporationlogical Company’s asset size grows 18.7% annually, but the proportion of financial assets is more than 30%, and the rate of return is less than 2%; the proportion of debt financing is increased to 20%, and the cost of financing is lower, but the increase in the value of equity is mostly negative. The return on operating assets is 9.34% and 9.57% in 2022 and 2023 respectively, and the return on long-term equity investment is as low as -18.51% in 2023. The study shows that there is room for optimization in asset allocation and capital structure of Dong Bo Bio Corporationlogical Company, and it is suggested that the enterprise value can be further enhanced by dynamically adjusting the asset structure, optimizing the proportion of debt financing, and improving the scientificity of investment decisions.