Aurora - Annual Report 2020 | FinancialReports.eu

Stock Code: 2373

Aurora Corporation and Subsidiaries

Consolidated Financial Statements and Independent Auditors' Report For the Years Ended December 31, 2020 and 2019

Address: 15 Floor, No. 2, Section 5, Xinyi Road, Taipei City Tel: (02)23458088

			Number of Notes
			to Financial
	Item	Page	Statements
1.	Cover Page	1	-
2.	Table of Contents	2	-
3.	Declaration of Consolidation of Financial	3	-
	Statements of Affiliates
4.	Independent Auditors' Report	4~7	-
5.	Consolidated Balance Sheets	8	-
6.	Consolidated Statements of Comprehensive	9~11	-
	Income
7.	Consolidated Statements of Changes in Equity	12	-
8.	Consolidated Statements of Cash Flows	13~14	-
9.	Notes to Consolidated Financial Statements
	a. Company History	15	1
	b. Date of Authorization for Issuance of the	15	2
	Parent Company Only Financial Statements
	and Procedures for Authorization
	c. Application of New and Amended Standards	15~16	3
	and Interpretations
	d. Summary of Significant Accounting Policies	17~29	4
	e. Primary Sources of Uncertainties in Material	29	5
	Accounting Judgments, Estimates, and
	Assumptions
	f. Details of Significant Accounts	29~68	6~32
	g. Related Party Transactions	68~73	33
	h. Pledged Assets	73	34
	i. Significant Contingent Liabilities and	73~74	35
	Unrecognized Contract Commitments
	j. Significant Disaster Loss	-	-
	k. Significant Events after the Balance Sheet	74	36
	Date
	l. Others	74~75	37
	m. Supplementary Disclosures
	1) Information on Significant Transactions	75~76, 78~85	38
	2) Information on Invested Companies	76, 86	38
	3) Information on Investments in Mainland	76, 87~89	38
	China
	4) Information on Major Shareholders	90	38
	n. Segment Information	76~77	39

Declaration of Consolidated Financial Statements of Affiliates

In 2020 (from January 1, 2020 to December 31, 2020), the companies required to be included in the consolidated financial statements of affiliates under the "Criteria Governing Preparation of Affiliation Reports, Consolidated Business Reports and Consolidated Financial Statements of Affiliated Enterprises" are all the same as companies required to be included in the consolidated financial statements of parent and subsidiary companies as provided in the International Financial Reporting Standards (IFRS) 10, and relevant information that should be disclosed in the consolidated financial statements of affiliates has all been disclosed in the consolidated financial statements of parent and subsidiary companies. Aurora hereby produces this declaration to the effect that no preparation for the separate consolidated financial statements of affiliates is required. Sincerely,

Company: Aurora Corporation

Chairman: Yuan Hui-Hua

March 16, 2021

Independent Auditors' Report

To Aurora Corporation:

Opinions

Aurora Corporation and its subsidiaries' Consolidated Balance Sheets as of December 31, 2020 and 2019, in addition to the Consolidated Statements of Comprehensive Income, Consolidated Statements of Changes in Equity, Consolidated Statements of Cash Flows, and Notes to the Consolidated Financial Statements (including a summary of significant accounting policies) from January 1 to December 31, 2020 and 2019, have been audited by the CPAs.

In our opinion, the Consolidated Financial Statements mentioned above have been prepared in accordance with the Regulations Governing the Preparation of Financial Reports by Securities Issuers, as well as the International Financial Reporting Standards (IFRSs), International Accounting Standards (IAS), law and regulation reviews and their announcements recognized and announced by the Financial Supervisory Commission in all material aspects, and are considered to have reasonably expressed the consolidated financial conditions of Aurora Corporation and its subsidiaries as of December 31, 2020 and 2019, as well as the consolidated financial performance and consolidated cash flows from January 1 to December 31, 2020 and 2019.

Basis for Opinions

We conducted our audits in accordance with the Regulations Governing the Auditing and Attestation of Financial Statements by Certified Public Accountants and Generally Accepted Auditing Standards (GAAS). Our responsibilities under those standards are further described in the Auditors' Responsibilities for the Audit of the Consolidated Financial Statements section of our report. We are independent of Aurora Corporation and its subsidiaries in accordance with the Norm of Professional Ethics for Certified Public Accountant of the Republic of China ("The Norm"), and we have fulfilled our other ethical responsibilities in accordance with the Norm. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.

Key Audit Matters

Key audit matters are those matters that, in our professional judgment, were of most significance in our audit of the Consolidated Financial Statements of Aurora Corporation and its subsidiaries for the year ended December 31, 2020. These matters were addressed in the context of our audit of the Consolidated Financial Statements as a whole, and in forming our opinion thereon, and we do not provide a separate opinion on these matters.

Key audit matters for the Consolidated Financial Statements of Aurora Corporation and its subsidiaries for the year ended December 31, 2020 are stated as follows:

Sales revenue

The main businesses of Aurora Corporation and its subsidiaries include the trade and lease of Multi-Functional Photocopiers (MFPs) and sales of system furniture. In particular, sales revenue from sales of system furniture in Taiwan and exporting office equipment in mainland China increased significantly in 2020 as compared to that in 2019; such increase in the overall impact to the financial statements is material. The main risk lies in whether revenue actually occurs. Accordingly, we identify the risk of revenue recognition arising from fraud as a key audit matter in accordance with the Statements on Auditing Standards in relation to significant risk.

For the accounting policies related to revenue recognition, please refer to Note IV (XV).

We understood and tested the effectiveness of the design and implementation of internal controls in the recognition of sales revenue. We have also selected appropriate samples from the sales details, reviewed the original contracts, documents and customs declaration forms from external forwarders or signed by customers to check whether the recipients are the trading parties, and reviewed whether there is a significant amount of return and allowance subsequent to the balance sheet date to confirm whether there is any material misstatement of sales revenue.

Other Matters

We have also audited the Parent Company Only Financial Statements of Aurora Corporation for the years ended December 31, 2020 and 2019, on which we have issued an unqualified opinion.

Responsibilities of Management and Those Charged with Governance for the Consolidated Financial Statements

To ensure that the Consolidated Financial Statements do not contain material misstatements caused by fraud or errors, the management is responsible for preparing prudent Consolidated Financial Statements in accordance with the Regulations Governing the Preparation of Financial Reports by Securities Issuers, as well as the IFRS, IAS, law and regulation reviews and their announcements recognized and announced by the Financial Supervisory Commission, and for preparing and maintaining necessary internal control procedures pertaining to the Consolidated Financial Statements.

In preparing the Consolidated Financial Statements, the management is responsible for assessing Aurora Corporation and its subsidiaries' ability to continue as a going concern, disclosing, as applicable, matters related to the going concern and using the going concern basis of accounting unless the management either intends to liquidate Aurora Corporation and its subsidiaries or to cease operations, or has no realistic alternative but to do so.

Those charged with governance (including the Audit Committee) are responsible for overseeing Aurora Corporation and its subsidiaries' financial reporting process.

Auditors' Responsibilities for the Audit of the Consolidated Financial Statements

Our objectives are to obtain reasonable assurance about whether the Consolidated Financial Statements as a whole are free from material misstatements, whether due to fraud or error, and to issue an auditors' report that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with the auditing standards generally accepted in the Republic of China will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements.

As part of an audit in accordance with the auditing standards generally accepted in the Republic of China, we exercise professional judgment and maintain professional skepticism throughout the audit. We also:

Identify and evaluate the risk of material misstatements due to fraud or error in the Consolidated Financial Statements; design and carry out appropriate countermeasures for the evaluated risk; and obtain sufficient and appropriate evidence as the basis for their audit opinion. The risk of not detecting a material misstatement resulting from fraud is higher than for one resulting from error, as fraud may involve collusion, forgery, intentional omissions, misrepresentations, or the override of internal control.
Obtain an understanding of internal controls relevant to the audit in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the internal controls of Aurora Corporation and its subsidiaries.
Assess the appropriateness of the accounting policies adopted by the management, as well as the reasonableness of their accounting estimates and relevant disclosures.
Conclude on the appropriateness of the management's use of the going concern basis of accounting and, based on the audit evidence obtained, whether a material uncertainty exists related to events or conditions that may cast significant doubt on Aurora Corporation and its subsidiaries' ability to operate as a going concern. If we conclude that a material uncertainty exists, we are required to draw attention in our auditors' report to the related disclosures in the Consolidated Financial Statements or, if such disclosures are inadequate, to modify our opinion. Our conclusions are based on the audit evidence obtained up to the date of our auditors' report. However, future events or conditions may cause Aurora Corporation and its subsidiaries to cease to continue as a going concern.
Evaluate the overall expression, structure and contents of the Consolidated Financial Statements (including relevant Notes), and whether the Consolidated Financial Statements fairly present relevant transactions and items.
Obtain sufficient appropriate audit evidence regarding the financial information of the entities or business activities within Aurora Corporation and its subsidiaries to express an opinion on the Consolidated Financial Statements. We are responsible for the direction, supervision, and performance of the audit and for expressing an opinion on the Consolidated Financial Statements of Aurora Corporation and its subsidiaries.

We communicate with those charged with governance regarding, among other matters, the planned scope and timing of the audit and significant audit findings, including any significant deficiencies in internal control that we identify during our audit.

We also provide those charged with governance with a statement that we have complied with relevant ethical requirements regarding independence, and to communicate with them all relationships and other matters that may reasonably be thought to bear on our independence, and where applicable, related safeguards.

From the matters communicated with those charged with governance, we determine the key audit matters of Aurora Corporation and its subsidiaries' Consolidated Financial Statements for the year ended December 31, 2020. We describe these matters in our auditors' report unless law or regulation precludes public disclosure about the matter or when, in extremely rare circumstances, we determine that a matter should not be communicated in our report because the adverse consequences of doing so would reasonably be expected to outweigh the public interest benefits of such communication.

Deloitte & Touche Chi Rui-Chuan, CPA

Hsieh Chien-Hsin, CPA

Financial Supervisory Commission Approval No. Jin-Guan-Zheng-Shen No. 1060023872

Securities and Futures Commission Approval No. Tai-Cai-Zheng-6 No. 0920123784

March 16, 2021

Notices to Readers

The accompanying consolidated financial statements are intended only to present the consolidated financial position, financial performance and cash flows in accordance with accounting principles and practices generally accepted in the Republic of China and not those of any other jurisdictions. The standards, procedures and practices to audit such consolidated financial statements are those generally applied in the Republic of China.

For the convenience of readers, the independent auditors’ report and the accompanying consolidated financial statements have been translated into English from the original Chinese version prepared and used in the Republic of China. If there is any conflict between the English version and the original Chinese version or any difference in the interpretation of the two versions, the Chinese-language independent auditors’ report and consolidated financial statements shall prevail.

Aurora Corporation and Subsidiaries Consolidated Balance Sheets December 31, 2020 and 2019 (In Thousands of New Taiwan Dollars)

Code 1100 1110 1120 1140 1150 1170 1180 1200 1220 130X 1479 11XX 1550 1560 1600 1755 1760 1805 1821 1840 1920 1980 1990 15XX 1XXX Code 2100 2110 2130 2170 2180 2200 2230 2280 2300 21XX 2540 2570 2580 2640 2645 25XX 2XXX 3110 3200 3310 3320 3350 3300 3400 3500 31XX 36XX 3XXX	Assets Current Assets Cash and cash equivalents (Notes IV and VI) Financial assets at fair value through profit or loss - current (Notes IV and VII) Financial assets at fair value through other comprehensive income - current (Notes IV and VIII) Financial assets at amortized cost - current (Notes IV and IX) Notes receivable (Notes IV and XI) Accounts receivable (Notes IV and XI) Accounts receivable - related parties (Notes IV, XI, and XXXIII) Other receivables (Notes IV, XI, and XXXIII) Current tax assets (Notes IV and XXVII) Inventories (Notes IV and XII) Other current assets (Note XIX) Total current assets Non-current assets Investments accounted for using the equity method (Notes IV and XIV) Contract assets - non-current (Note XXV) Property, plant, and equipment (Notes IV, XV, XXXIII, and XXXIV) Right-of-use assets (Notes III, IV, XVI, and XXXIII) Investment properties (Notes IV, XVII, and XXXIV) Goodwill (Notes IV and XVIII) Other intangible assets (Notes IV and XVIII) Deferred tax assets (Notes IV and XXVII) Refundable deposits (Note XXXIII) Other financial assets - non-current (Notes X and XXXIV) Other non-current assets (Note XIX) Total non-current assets Total assets Liabilities and Equity Current Liabilities Short-term loans (Note XX) Short-term notes and bills payable (Note XX) Contract liabilities - current (Note XXV) Accounts payable (Note XXI) Accounts payable - related parties (Notes XXI and XXXIII) Other payables (Notes XXII and XXXIII) Current tax liabilities (Notes IV and XXVII) Lease liabilities - current (Notes IV, XVI, and XXXIII) Other current liabilities (Note XXII) Total current liabilities Non-current liabilities Long-term loans (Note XX) Deferred income tax liabilities (Notes IV and XXVII) Lease liabilities - non-current (Notes IV, XVI, and XXXIII) Net defined benefit liabilities - non-current (Notes IV and XXIII) Guarantee deposits received (Note XXXIII) Total non-current liabilities Total liabilities Equity attributable to owners of the Company (Note XXIV) Capital stock Capital stock - common shares Capital surplus Retained earnings Legal reserve Special reserve Unappropriated earnings Total retained earnings Other equity Treasury shares Total equity attributable to owners of the Company Non-controlling Interests Total equity Total liabilities and equity		December 31, 2020	December 31, 2020	% 30 - - 10 1 7 1 1 - 8 2 60 17 - 13 4 3 1 - 1 1 - - 40 100 14 2 3 8 - 7 1 2 - 37 7 1 2 3 1 14 51 13 11 10 5 8 23 - 5) 42 7 49 100		December 31, 2019	December 31, 2019
			Amount $ 5,444,125 77,420 - 1,873,326 190,720 1,303,845 102,688 109,530 49,332 1,463,649 281,074 10,895,709 3,156,926 19,590 2,315,741 641,237 450,870 132,801 44,208 179,114 150,569 60,665 15,479 7,167,200 $ 18,062,909 $ 2,621,620 319,651 467,117 1,391,425 1,955 1,221,392 194,294 310,468 91,711 6,619,633 1,340,000 258,460 346,260 481,453 92,956 2,519,129 9,138,762 2,362,025 1,941,799 1,731,715 852,220 1,504,059 4,087,994 28,697 791,826) 7,628,689 1,295,458 8,924,147 $ 18,062,909				Amount $ 5,764,661 158,520 107,823 1,229,067 186,716 1,019,475 105,127 117,707 457 1,524,802 177,999 10,392,354 3,039,586 - 1,939,676 702,289 465,911 132,728 35,926 169,676 167,526 35,459 28,645 6,717,422 $ 17,109,776 $ 2,814,268 99,992 459,544 1,181,483 12,769 1,079,334 94,628 272,725 68,030 6,082,773 1,480,000 140,885 438,574 485,613 108,198 2,653,270 8,736,043 2,362,025 1,920,710 1,597,471 852,220 1,523,968 3,973,659 252,935) 791,826) 7,211,633 1,162,100 8,373,733 $ 17,109,776		%
		(		(		( (		( (	34 1 1 7 1 6 - 1 - 9 1 61 18 - 11 4 3 1 - 1 1 - - 39 100 16 1 3 7 - 6 1 2 - 36 9 1 2 3 - 15 51 14 11 9 5 9 23 1) 5) 42 7 49 100

The accompanying notes are an integral part of the Consolidated Financial Statements.

President: Chou Ming-Chung

Accounting Manager: Lin Ya-Ling

Chairman: Yuan Hui-Hua

Aurora Corporation and Subsidiaries

Consolidated Statements of Comprehensive Income For the Years Ended December 31, 2020 and 2019 (In Thousands of New Taiwan Dollars, Except Earnings Per Share)

Code Operating revenue (Notes IV, XXV, and XXXIII) 4110 Sales revenue 4170 Sales returns 4190 Sales discounts and allowances 4000 Total operating revenue 5000 Operating costs (Notes IV, XII, XXVI, and XXXIII) 5900 Gross profit 5910 Realized gains from sales of associates 5950 Realized gross profit Operating expenses (Notes IV, XI, XXVI, and XXXIII) 6100 Selling and marketing expenses 6200 General and administrative expenses 6300 Research and development expenses 6450 Expected credit loss 6000 Total operating expenses 6900 Net operating income Non-operating income and expenses (Notes IV, VII, IX, XIV, XXVI, and XXXIII) 7100 Interest income 7190 Other income		2020		% 100 - - 100 55 45 1 46 19 14 1 - 34 12 - 1		2019
		Amount $ 12,985,917 25,470 9,473 12,950,974 7,152,644 5,798,330 76,297 5,874,627 2,439,433 1,853,556 51,649 12,609 4,357,247 1,517,380 63,933 127,087				Amount $ 13,643,478 21,711 16,654 13,605,113 7,569,044 6,036,069 61,645 6,097,714 3,050,347 1,670,017 - 6,697 4,727,061 1,370,653 45,579 146,078		%
								100 - - 100 56 44 1 45 23 12 - - 35 10 - 1

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Code 7590 Other gains and losses 7050 Finance costs 7060 Share of profit (loss) of associates and joint ventures accounted for using the equity method 7000 Total non-operating income and expenses 7900 Net income before tax 7950 Income tax expense (Notes IV and XXVII) 8200 Net income Other comprehensive income 8310 Components that will not be reclassified to profit or loss (Notes IV, XXIV, and XXVII): 8316 Unrealized gains (losses) on investments in equity instruments at fair value through other comprehensive income 8311 Gains (losses) on re-measurements of defined benefit plans 8320 Share of other comprehensive income of associates accounted for using the equity method 8349 Income tax related to components that will not be reclassified to profit or loss		2020		% 1 - 2 4 16 4 12 2 - - - 2		2019
		Amount $ 124,854 57,471 ) 249,645 508,048 2,025,428 466,693 1,558,735 232,144 28,086 ) 5,194 ) 5,617 204,481				Amount $ 153,871 65,129 ) 281,688 562,087 1,932,740 430,984 1,501,756 32,214 ) 36,784 ) 71,110 ) 7,357 132,751)		%
	( ( (				( ( ( ( (		( (	1 - 2 4 14 3 11 - - 1 ) - 1)

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Code 8360 Components that may be reclassified to profit or loss (Notes IV and XV) 8361 Exchange differences on translation of financial statements of foreign operations 8370 Share of other comprehensive income of associates accounted for using the equity method 8300 Other comprehensive income, net 8500 Total comprehensive income Net Income Attributable to: 8610 Owners of the Company 8620 Non-controlling Interests 8600 Total comprehensive income attributable to: 8710 Owners of the Company 8720 Non-controlling Interests 8700 Earnings per share (Note XXVIII) 9710 Basic 9810 Diluted		2020		% 1 - 1 3 15 11 1 12 14 1 15		2019
		Amount $ 151,624 10,038 161,662 366,143 $ 1,924,878 $ 1,438,309 120,426 $ 1,558,735 $ 1,765,942 158,936 $ 1,924,878 $ 6.40 $ 6.39				Amount $ 295,245 ) 22,157) 317,402) 450,153) $ 1,051,603 $ 1,374,792 126,964 $ 1,501,756 $ 965,710 85,893 $ 1,051,603 $ 6.12 $ 6.11		%
					( ( ( (		( ( (	2 ) - 2) 3) 8 10 1 11 7 1 8

The accompanying notes are an integral part of the Consolidated Financial Statements.

Chairman: Yuan Hui-Hua

President: Chou Ming-Chung Accounting Manager: Lin Ya-Ling

Aurora Corporation and Subsidiaries

Consolidated Statements of Changes in Equity For the Years Ended December 31, 2020 and 2019 (In Thousands of New Taiwan Dollars)

		Retained earnings	Unappropriated earnings $ 1,751,045 ( 152,300 ) ( 1,417,215 ) - 1,374,792 ( 32,552) 1,342,240 - - - 198 1,523,968 ( 134,244 ) ( 1,369,975 ) - 1,438,309 ( 23,390) 1,414,919 - - - 69,391 $ 1,504,059	Other equity Unrealized Gains (Losses) on Financial Assets at Fair Value through Other Comprehensive Income Exchange differences on translation of financial statements of foreign operations ( $ 477,204 ) $ 600,997 - - - - - - - - ( 280,868) ( 95,662) ( 280,868) ( 95,662) - - - - - - - ( 198) ( 758,072 ) 505,137 - - - - - - - - 143,439 207,584 143,439 207,584 - - - - - - - ( 69,391) ($ 614,633) $ 643,330	Other equity Unrealized Gains (Losses) on Financial Assets at Fair Value through Other Comprehensive Income Exchange differences on translation of financial statements of foreign operations ( $ 477,204 ) $ 600,997 - - - - - - - - ( 280,868) ( 95,662) ( 280,868) ( 95,662) - - - - - - - ( 198) ( 758,072 ) 505,137 - - - - - - - - 143,439 207,584 143,439 207,584 - - - - - - - ( 69,391) ($ 614,633) $ 643,330	Treasury shares ( $ 791,826 ) - - - - - - - - - - ( 791,826 ) - - - - - - - - - - ($ 791,826)		Non-controlling Interests $ 1,113,576 - - - 126,964 ( 41,071) 85,893 6,651 - ( 44,020 ) - 1,162,100 - - - 120,426 38,510 158,936 6,651 6,297 ( 38,526 ) - $ 1,295,458		Total Equity
				Exchange differences on translation of financial statements of foreign operations ( $ 477,204 ) - - - - ( 280,868) ( 280,868) - - - - ( 758,072 ) - - - - 143,439 143,439 - - - - ($ 614,633)
	Legal Reserve $ 1,445,171 152,300 - - - - - - - - - 1,597,471 134,244 - - - - - - - - - $ 1,731,715	Special Reserve $ 852,220 - - - - - - - - - - 852,220 - - - - - - - - - - $ 852,220
(			( ( ( ( ( (	( ( ( ( (	( ( ( (	( ( (	( ( ( (	( ( (	( ( ( ( ( (	$ 8,699,008 - 1,417,215 ) 7,948 1,501,756 450,153) 1,051,603 74,981 1,428 44,020 ) - 8,373,733 - 1,369,975 ) 47,241 ) 1,558,735 366,143 1,924,878 74,981 6,297 38,526 ) - $ 8,924,147

The accompanying notes are an integral part of the Consolidated Financial Statements.

Chairman: Yuan Hui-Hua

President: Chou Ming-Chung

Accounting Manager: Lin Ya-Ling

Aurora Corporation and Subsidiaries

Consolidated Statements of Cash Flows For the Years Ended December 31, 2020 and 2019 (In Thousands of New Taiwan Dollars)

Code Cash flows from operating activities A00010 Net income before tax A20010 Adjustments: A20100 Depreciation expenses A20200 Amortization expenses A20300 Expected credit loss A20400 Net gain on financial assets at fair value through profit or loss A20900 Finance costs A21200 Interest income A22300 Share of profit of associates and joint ventures accounted for using the equity method A22500 Loss on disposal of property, plant, and equipment A22700 Gain on disposal of investment property A23200 Loss on disposal of investments accounted for using the equity method A23900 Realized gains from associates A29900 Gains on lease modifications A29900 Gains on bargain purchase - acquisition of subsidiaries A30000 Changes in operating assets and liabilities A31130 Notes receivable A31150 Accounts receivable A31160 Accounts receivable - related parties A31180 Other receivables A31200 Inventories A31240 Other current assets A31125 Contract assets A32150 Accounts payable A32160 Accounts payable - related parties A32180 Other payables A32230 Other current liabilities A32240 Net defined benefit liabilities A33000 Cash generated from operations A33300 Interest paid A33500 Income tax paid AAAA Net cash flows generated from operating activities		2020 $ 2,025,428 842,956 16,940 12,609 156,023 ) 57,437 63,916 ) 249,645 ) 5,184 8,653 ) - 76,297 ) 204 ) - 4,004 ) 300,489 ) 5,187 8,034 97,504 ) 103,075 ) 19,590 ) 209,942 10,814 ) 162,541 31,254 32,246) 2,255,052 77,920 ) 301,705) 1,875,427		2019
	( ( ( ( ( ( ( ( ( ( ( ( ( ( (		( ( ( ( ( ( ( ( ( ( ( ( (	$ 1,932,740 737,362 14,835 6,697 180,944 ) 65,075 45,579 ) 281,688 ) 2,863 - 11,348 61,645 ) - 5,241 ) 53,045 234,460 86,314 12,495 57,903 ) 128,372 - 587,411 ) 211,504 ) 229,796 ) 14,171 ) 21,554) 1,588,170 64,968 ) 421,470) 1,101,732

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Code Cash flows from investing activities B00020 Disposal of financial assets at fair value through other comprehensive income B00040 Acquisition of financial assets at amortized cost B00100 Acquisition of financial assets at fair value through profit or loss B00200 Disposal of financial assets at fair value through profit or loss B02200 Net cash flows from subsidiaries B02700 Acquisition of property, plant, and equipment B02800 Proceeds from disposal of property, plant, and equipment B03700 Increase in refundable deposits B03800 Decrease in refundable deposits B04500 Acquisition of intangible assets B05500 Disposal of investment property B06700 Increase in other non-current assets B07500 Interest received B07600 Dividends received BBBB Net cash flows used in investing activities Cash flows from financing activities C00100 Increase in short-term loans C00200 Decrease in short-term loans C00500 Increase in short-term notes and bills payable C00600 Decrease in short-term notes and bills payable C01600 Proceeds from long-term loans C01700 Repayments of long-term loans C03100 Decrease in guarantee deposits received C04020 Repayment of the principal portion of lease liabilities C04500 Cash dividends paid C05800 Changes in non-controlling interests CCCC Net cash flows used in financing activities DDDD Effects of exchange rate changes on the balance of cash held in foreign currencies EEEE Net decrease in cash and cash equivalents E00100 Cash and cash equivalents at beginning of period E00200 Cash and cash equivalents at end of period		2020 $ 339,967 644,259 ) 18,515,874 ) 18,752,483 - 641,062 ) 12,106 - 16,957 24,657 ) 18,333 12,040 ) 64,059 224,336 409,651) - 192,648 ) 219,659 - - 140,000 ) 15,242 ) 405,237 ) 1,380,761 ) 6,297 1,907,932) 121,620 320,536 ) 5,764,661 $ 5,444,125		2019
	( ( ( ( ( ( ( ( ( ( ( ( (		( ( ( ( ( ( ( ( ( ( ( ( ( (	$ - 728,040 ) 27,780,597 ) 27,871,777 80,699 230,437 ) 19,917 32,572 ) - 27,947 ) - 6,845 ) 45,139 278,377 510,529) 451,751 - - 169,989 ) 80,000 - 20,723 ) 328,317 ) 1,386,254 ) - 1,373,532) 233,342) 1,015,671 ) 6,780,332 $ 5,764,661

The accompanying notes are an integral part of the Consolidated Financial Statements.

Chairman: Yuan Hui-Hua

President: Chou Ming-Chung Accounting Manager: Lin Ya-Ling

Aurora Corporation and Subsidiaries

Notes to Consolidated Financial Statements For the Years Ended December 31, 2020 and 2019

(Amount in Thousands of New Taiwan Dollars, Unless Specified Otherwise)

1. Company History

Aurora Corporation (the Company; the Company and entities controlled by the Company collectively referred to as the "Group") was founded in Taipei in October 1965. The main businesses of the Company include the trade, lease, and repair of Multi-Functional Photocopiers (MFPs) and computer equipment and the sales of system furniture.

The Company's shares have been listed on the Taiwan Stock Exchange since August 1991.

The Consolidated Financial Statements are presented in the New Taiwan dollar, the Company's functional currency.

2. Date of Authorization for Issuance of the Parent Company Only Financial Statements and Procedures for Authorization

The Consolidated Financial Statements have been approved by the Board of Directors on March 16, 2021.

3. Application of New and Amended Standards and Interpretations

a. Initial application of the latest Regulations Governing the Preparation of Financial Reports by Securities Issuers, as well as the International Financial Reporting Standards (IFRS), International Accounting Standards (IAS), International Financial Reporting Interpretations Committee (IFRIC), and Standard Interpretations Committee (SIC) (the "IFRSs") endorsed and issued into effect by the Financial Supervisory Commission (the "FSC").

The application of the latest Regulations Governing the Preparation of Financial Reports by Securities Issuers and the IFRSs endorsed and issued into effect by the FSC should not result in major changes in the accounting policies of the Group.

b. FSC-endorsed IFRSs that are applicable from 2021 onward

New/Revised/Amended Standards andInterpretations Amendments to IFRS 4 "Applying IFRS 9 Financial Instruments with IFRS 4 Insurance Contracts" Amendments to IFRS 9, IAS 39, IFRS 7, IFRS 4 and IFRS 16 "Interest Rate Benchmark Reform – Phase II" Amendment to IFRS 16 "Covid-19-Related Rent Concessions"	Effective Date of Issuance by theIASB
	Effective immediately upon the date of issuance The amendments apply to the annual reporting periods beginning on or after January 1, 2021. The amendments apply to the annual reporting periods beginning on or after June 1, 2020.

As of the date of authorization of the financial statements, the Group's assessment of the effects of amendments to other standards and interpretations should not cause material effects on the consolidated financial conditions and performance.

c. Standards issued by the IASB but not yet endorsed and issued into effect by the FSC

New/Revised/Amended Standards andInterpretations Annual Improvements to IFRSs 2018-2020 Cycle Amendments to IFRS 3 "Reference to the Conceptual Framework" Amendments to IFRS 10 and IAS 28 "Sale or Contribution of Assets between an Investor and Its Associate or Joint Venture" IFRS 17 “Insurance Contracts” Amendments to IFRS 17 Amendments to IAS 1 "Classify Liabilities as Current or Non-current" Amendments to IAS 16 "Property, Plant and Equipment - Proceeds before Intended Use" Amendments to IAS 37 "Onerous Contracts - Cost of Fulfilling a Contract" Amendments to IAS 1 "Disclosure of Accounting Policies" Amendments to IAS 8 "Definition of Accounting Estimates"	Effective Date of Issuance by theIASB(Note1)
	January 1, 2022 (Note 2) January 1, 2022 (Note 3) To be determined January 1, 2023 January 1, 2023 January 1, 2023 January 1, 2022 (Note 4) January 1, 2022 (Note 5) January 1, 2023 (Note 6) January 1, 2023 (Note 7)

New/Revised/Amended Standards andInterpretations
Annual Improvements to IFRSs 2018-2020 Cycle

Amendments to IFRS 3 "Reference to the Conceptual
Framework"

Amendments to IFRS 10 and IAS 28 "Sale or
Contribution of Assets between an Investor and Its
Associate or Joint Venture"

IFRS 17 “Insurance Contracts”

Amendments to IFRS 17

Amendments to IAS 1 "Classify Liabilities as Current or
Non-current"

Amendments to IAS 16 "Property, Plant and Equipment -
Proceeds before Intended Use"

Amendments to IAS 37 "Onerous Contracts - Cost of
Fulfilling a Contract"

Amendments to IAS 1 "Disclosure of Accounting
Policies"

Amendments to IAS 8 "Definition of Accounting
Estimates"

Effective Date of Issuance
by theIASB(Note1)

January 1, 2022 (Note 2)
January 1, 2022 (Note 3)
To be determined
January 1, 2023
January 1, 2023
January 1, 2023
January 1, 2022 (Note 4)
January 1, 2022 (Note 5)
January 1, 2023 (Note 6)
January 1, 2023 (Note 7)

Note 1: Unless otherwise specified, the aforementioned New/Amended/Revised Standards and Interpretations shall be effective for the annual reporting period after the specified dates.
Note 2: The amendments to IFRS 9 apply prospectively to modifications and exchanges of financial liabilities that occur on or after the annual reporting periods beginning on or after January 1, 2022. The amendments to IAS 41 "Agriculture" apply prospectively to the fair value measurements on or after the annual reporting periods beginning on or after January 1, 2022. The amendments to IFRS 1 "First-time Adoptions of IFRSs" apply retrospectively for annual reporting periods beginning on or after January 1, 2022.
Note 3: The amendments apply to the business combination of which the acquisition date falls on the annual reporting periods beginning on or after January 1, 2022.
Note 4: The amendments apply to property, plant, and equipment that are brought to the location and condition necessary for them to be capable of operating in the manner intended by management on or after January 1, 2021.
Note 5: The amendments apply to contracts that will not have been completely fulfilled in the annual period beginning after January 1, 2022.
Note 6: The amendments prospectively apply to the annual reporting periods beginning on or after January 1, 2023.
Note 7: The amendments apply to changes in accounting estimates and in accounting policies which take place in the annual reporting periods beginning on or after January 1, 2023.

As of the date of authorization of the Consolidated Financial Statements, the Group has continued to assess the effects of amendments to other standards and interpretations on its financial conditions and performance. Related impacts will be disclosed upon completion of the assessment.

4. Summary of Significant Accounting Policies

a. Compliance declaration

The Consolidated Financial Statements have been prepared in accordance with the Regulations Governing the Preparation of Financial Reports by Securities Issuers and the IFRSs endorsed and issued into effect by the FSC.

b. Preparation basis

The Consolidated Financial Statements have been prepared on a historical cost basis, except for financial instruments measured at fair value and net defined benefit liabilities recognized at the present value of defined benefit obligations less fair value of plan assets.

The fair value measurement is classified into three levels based on the observability and importance of related input:

1) Level 1 inputs are quoted prices (unadjusted) in active markets for identical assets or liabilities on the measurement date.
2) Level 2 inputs are inputs other than quoted prices included within Level 1 that are observable for the asset or liability, either directly (i.e. as prices) or indirectly (i.e. deduced from prices).
3) Level 3 inputs are unobservable inputs for the asset or liability.
c. Standards for assets and liabilities classified as current and non-current

Current assets include:

1) Assets held primarily for trading purposes;
2) Assets expected to be realized within 12 months after the balance sheet date; and
3) Cash or cash equivalents (excluding assets restricted from being exchanged or used to settle a liability for at least 12 months after the balance sheet date).

Current liabilities include:

1) Liabilities held primarily for trading purposes;
2) Liabilities with settlement within 12 months after the balance sheet date; and
3) Liabilities with a repayment schedule that cannot be unconditionally deferred till at least 12 months after the publication of the balance sheet.

All other assets or liabilities that are not specified above are classified as non-current.

d. Basis of consolidation

The Consolidated Financial Statements include the financial statements of the Company and entities controlled by the Company (i.e., subsidiaries). The Consolidated Statements of Comprehensive Income include the operating income/loss of the acquired or disposed subsidiaries from the date of acquisition to the date of disposal in the current period. The financial statements of the subsidiaries have been adjusted to bring their accounting policies in line with those used by the Group. All intergroup transactions, balances, income and expenses are eliminated in full upon consolidation. A subsidiary's total comprehensive income is attributed to the owners of the Company and non-controlling interests, even if non-controlling interests become having deficit balances in the process.

Please refer to Notes XIII and XXXVIII (Tables 7 and 8) for details, shareholding ratio, and business activities of subsidiaries.

e. Business combinations

The acquisition method is applied to business combinations. Costs associated with acquisition are recognized as expenses in the year when costs incurred and services received.

Goodwill is measured by adding the fair value of consideration transferred and fair value of the acquirer's previously owned acquiree equity on acquisition date minus the net value of identifiable assets and assumed liabilities on acquisition date. If after reassessment, the net amount of identifiable assets and assumed liabilities acquired on the acquisition date still exceeds the total amount of consideration transferred, non-controlling interest of the acquiree., and fair value of the acquiree equity previously held by the acquirer on the acquisition date, the difference is the gain on bargain purchase, which is immediately recognized in profit or loss.

If the measurement of identifiable assets and liabilities assumed from business combinations is not completed by the balance sheet date, provisional amounts would be recognized instead. Retrospective adjustments or recognition of additional assets or liabilities are required during the measurement period to reflect new information obtained on the facts and circumstances that existed on the acquisition date.

f. Foreign currencies

In the preparation of each individual financial statements, transactions denominated in a currency other than the entity’s functional currency (i.e., foreign currency) are translated into the entity's functional currency by using the exchange rate at the date of the transaction before they are recorded by each entity.

Monetary items denominated in foreign currencies are translated at the closing rates on the balance sheet date. Exchange differences arising from settlement or translation of monetary items are recognized in profit or loss in the year in which they arise.

Non-monetary items measured at fair value that are denominated in foreign currencies are translated at the rates prevailing at the date when the fair value was determined. The resulting exchange difference is recognized in profit or loss. For items whose changes in fair value are recognized in other comprehensive income, the resulting exchange difference is recognized in other comprehensive income.

Non-monetary items measured at historical cost that are denominated in foreign currencies are translated at the rates of exchange prevailing on the transaction dates and are not re-translated.

In the preparation of the consolidated financial statements, the assets and liabilities of foreign operations (including subsidiaries that operate in a country or currency different from the Company) are translated into the New Taiwan dollar at the closing rate of exchange prevailing on the balance sheet date. Income and expenses are translated at the average rate of the year. The exchange differences arising are recognized in other comprehensive income (and are attributable to owners of the Company and non-controlling interests respectively).

On the disposal of the entire interest in the foreign operation, or when the retained interests upon the disposal of foreign operation's joint venture are financial assets and accounted for using the accounting policies for financial instruments, all of the accumulated exchange differences attributable to owners of the Company and associated with the foreign operation are reclassified to profit or loss.

g. Inventories

Inventories comprise office automation products, office supplies, computer equipment, communication products and supplies, system furniture, raw materials, and work in process. Inventory costs are calculated using the weighted average method. Inventories are measured at the lower of cost and net realizable value. The comparison between costs and net realizable values is based on individual items except for the same type of inventory. The net realizable value is the estimated selling price in the ordinary course of business less the estimated cost of completion and the estimated cost necessary to make the sale.

h. Investments in associates and joint ventures

An associate is an entity over which the Group has significant influence other than a subsidiary or a joint venture. A joint venture is a joint arrangement where the Group and other parties share joint control and net assets.

The Group accounts for investments in associates and joint ventures by using the equity method.

Under the equity method, investments are initially treated at cost and adjusted thereafter for the post-acquisition change in the Group's interest in profit or loss, share in other comprehensive income, and profits of associates and joint ventures. In addition, equity changes in associates and joint ventures are recognized based on the shareholding ratio.

Any excess of the cost of acquisition over the Group’s share of the net fair value of the identifiable assets, and liabilities of associates and joint ventures recognized at the date of acquisition is recognized as goodwill, which is included in the carrying amount of the investment and may not be amortized. Any excess of the Group’s share of the net fair value of the identifiable assets and liabilities over the cost of acquisition is recognized as profit or loss in the current year.

When associates and joint ventures issue new shares and the Group does not subscribe to such shares to the extent that its original shareholding ratio can be changed, the difference is recorded as an adjustment to capital surplus - changes in the net value of shares in associates and joint ventures accounted for using the equity method and other investments accounted for using the equity method. If the amount of ownership interests in associates and joint ventures is not subscribed for or obtained in proportion to the shareholding ratio, the amount of the related assets or liabilities shall be recognized in other comprehensive income. The basis of the accounting treatment is the same as that of the associates and joint ventures. The difference in the balance of the capital reserve accounted for using the equity method shall be recognized in retained earnings.

To assess impairment, the Group has to consider the overall carrying amount (including goodwill) of the investment as a single asset to compare the recoverable and carrying amounts. The cost of impairment identified is to be deemed as part of the carrying amount of the investment. Reversal of the impairment loss is recognized to the extent of subsequent increases in the recoverable amount of investment.

The Group shall cease the use of equity method from the date when its investment is no longer a joint venture. Its retained interest in the joint venture is measured at fair value, and the difference between the fair value and the carrying amount of the investment and the carrying amount of the investment at the date of acquisition of the equity method is included in profit or loss for the current period. In addition, the Group shall account for all the amounts recognized in other comprehensive income in relation to that joint venture on the same basis as would be required if the joint venture had directly disposed of the related assets or liabilities.

Profits and losses in upstream, downstream and side-stream transactions between the Group and associates and between the Group and joint ventures are recognized in the consolidated financial statements only when the profits and losses are irrelevant to the Group's interests in the associates and joint ventures.

i.
Property, plant, and equipment

Property, plant, and equipment shall be recognized at cost and subsequently at cost less accumulated depreciation.

Each significant part of property, plant, and equipment is separately depreciated over its useful life on a straight-line basis. The estimated useful lives, residual values and depreciation method are reviewed at the end of each reporting period, with the effect of any changes in estimate accounted for on a prospective basis.

When property, plant, and equipment is derecognized, the difference between the net disposal proceeds and the carrying amount of the asset shall be recognized in profit or loss.

j. Investment property

Investment property is real estate held for rent or capital appreciation or both.

Investment property owned by the Group is measured initially at cost (including transaction costs) and subsequently at cost less accumulated depreciation. Depreciation is recognized on a straight-line basis.

k. Goodwill

The value of goodwill received through business combinations has to be shown as the amount of goodwill recognized on the acquisition date and subsequently evaluated as cost less accumulated impairment loss.

To evaluate impairment, goodwill is distributed among various cash-generating units or cash-generating unit groups ("cash-generating units") which the Group expects to benefit by business combinations.

The cash-generating units that are allocated goodwill will compare the unit's carrying amount and its recoverable amount including goodwill every year (and whenever there are signs of impairment) to evaluate the impairment of the unit. If the goodwill is obtained by the cash-generating units through a business combination in the current year, an impairment test is to be conducted prior to the end of the current year. If the recoverable amount of the cash-generating units is less than its carrying amount, the impairment loss is allocated first to reduce the carrying amount of any goodwill allocated to the cash-generating units and then to the other assets of the unit on a pro rata basis based on the carrying amount of each asset in the unit. Impairment loss is considered as loss in the current year. The impairment loss of goodwill shall not be reversed in subsequent periods.

Intangible assets

1) Separate acquisition

Intangible assets with a limited useful life will be evaluated initially at cost and subsequently at cost less accumulated amortization. Intangible assets will be amortized using the straight-line method within the useful life. The Group will review the estimated useful life, residual value, and depreciation methods at the end of each year at least once a year to deduce the effect of the changes in accounting estimates.

2) Derecognition

When intangible assets are derecognized, the difference between the net disposal proceeds and the carrying amount of the asset shall be recognized in profit or loss of the current year.

m. Impairment of property, plant, and equipment as well as right-of-use assets, investment property, and intangible assets (excluding goodwill)

On each balance sheet date, the Group reviews the carrying amounts of its property, plant, and equipment as well as right-of-use assets, investment property and intangible assets (excluding goodwill) to determine whether there is any indication that those assets have suffered an impairment loss. If any such indication exists, the recoverable amount of the asset is estimated in order to determine the extent of the impairment loss. When it is not possible to estimate the recoverable amount of an individual asset, the Group estimates the recoverable amount of the cash-generating unit to which the asset belongs.

The recoverable amount is the fair value minus cost of sales or its value in use, whichever is higher. If the recoverable amount of individual asset or the cash-generating unit is lower than its carrying amount, the carrying amount of the asset or the cash-generating unit shall be reduced to the recoverable amount and the impairment loss shall be recognized in profit or loss.

When the impairment loss is subsequently reversed, the carrying amount of the asset or the cash-generating unit will be reduced to the extent of recoverable amount prior to revision, provided the increased carrying amount does not exceed the carrying amount (minus amortization or depreciation) of the asset or of the cash-generating unit not declared as impairment loss in the previous years. A reversal of an impairment loss is recognized immediately in profit or loss.

n. Financial instruments

Financial assets and liabilities will be recognized in the consolidated balance sheets when the Group becomes a party to the contract of the financial instrument.

When showing the original financial assets and liabilities, if their fair value was not assessed based on profit or loss, it is the fair value plus the cost of transaction, that is, of its acquisition or issuance of the financial assets or financial liabilities. Transaction costs directly attributable to the acquisition of financial assets or financial liabilities at fair value through profit or loss are recognized immediately in profit or loss.

1) Financial assets

Regular trading of financial assets shall be recognized and derecognized in accordance with trade date accounting.

a) Types of measurement

Financial assets held by the Group are classified as financial assets at fair value through profit or loss, financial assets at amortized cost, and investments in equity instruments at fair value through other comprehensive income.

i. Financial assets at fair value through profit or loss Financial assets at fair value through profit or loss include financial assets mandatorily measured at fair value through profit or loss and financial assets designated as at fair value through profit or loss. Financial assets mandatorily measured at fair value through profit or loss include equity instrument investments not designated by the Group to be measured at fair value through other comprehensive income, and debt instrument

investments not subject to classification as measured at amortized cost or to be measured at fair value through other comprehensive income. Financial assets at fair value through profit or loss are measured at fair value; any re-measurement profit or loss (including any dividends or interests derived from such financial assets) is recognized in profit or loss. Please refer to Note XXXII for the methods for determining fair values. ii. Financial assets at amortized cost When the Group's investments in financial assets satisfy the following two conditions simultaneously, they are classified as financial assets at amortized cost:

i) Financial assets are under a business model whose purpose is to hold financial assets and collecting contractual cash flows; and
ii) The terms of the contract generate a cash flow on a specified date that is solely for the payment of interest on the principal and the amount of principal outstanding.

After initial recognition, financial assets measured at amortized cost are measured at amortized cost, which equals to gross carrying amount determined by the effective rate method less any impairment loss.

Except for the following two circumstances, interest income is calculated at the value of effective interest rate times the gross carrying amount of financial assets:

i) For purchased or originated credit-impaired financial assets, interest income is calculated by applying the credit-adjusted effective interest rate to the amortized cost of the financial assets.
ii) For financial assets that are not purchased or originated credit-impaired but subsequently have become credit-impaired, interest income is calculated by applying the effective interest rate to the amortized cost balance of such financial assets.

Cash equivalents include time deposits within three months from the acquisition date and with high liquidity and relatively low price changes convertible to cash any time. They are used for meeting short-term cash commitments.

iii. Investments in equity instruments at fair value through other comprehensive income
The Group may, at initial recognition, make an irrevocable decision to designate an equity instrument that is neither held for trading nor contingent consideration arising from a business combination to be measured at fair value through other comprehensive income.

Investments in equity instruments at fair value through other comprehensive income are measured at fair value, and any subsequent fair value changes are recognized in other comprehensive income and accumulated in other equity. When the investment is disposed of, the cumulative profit or loss is directly transferred to retained earnings and not reclassified to profit or loss.

Dividends of investments in equity instruments at fair value through other comprehensive income are recognized in profit or loss when the Group's right to receive payment is confirmed unless such dividends clearly represent the recovery of a part of the investment cost.

b) Impairment of financial assets

The impairment loss of financial assets at amortized cost is measured by the Group on the balance sheet date based on the expected credit losses.

Allowances shall be appropriated for accounts receivable for expected credit losses for the duration of their existence. A loss allowance for the 12-month expected credit losses is required for a financial asset if its credit risk has not increased significantly since initial recognition. A loss allowance for full lifetime expected credit losses is required for a financial asset if its credit risk has increased significantly since initial recognition.

The expected credit loss is the weighted average credit loss determined by the risk of default. The 12-month expected credit losses represent the expected credit losses arising from the possible default of the financial instrument in the 12 months after the balance sheet date, and the expected credit losses during the lifetime represent the expected credit losses arising from all possible defaults of the financial instrument during the expected existence period.

For the purpose of internal credit risk management, under the premise that the collateral held is not under consideration, the Group determines that there is internal or external information indicating that the debtor cannot settle the debt, which represents that the financial assets have breached the contract.

The impairment loss of all financial assets is reduced based on the allowance account.

c) Derecognition of financial assets

The Group derecognizes the financial assets when the contractual rights to the cash flow from the said financial assets expire or when the Group transfers almost all the risks and rewards of ownership of the financial assets to other enterprises.

On derecognition of a financial asset measured at amortized cost, the difference between the asset's carrying amount and the sum of the consideration received is recognized in profit or loss. Through the full derecognition of the investments in equity instruments at fair value through other comprehensive income, the cumulative profit or loss is directly transferred to retained earnings and not reclassified to profit or loss.

2) Financial liabilities

a) Subsequent measurement

Financial liabilities are assessed at amortized cost using the effective interest method.

b) Derecognition of financial liabilities

When financial liabilities are derecognized, the difference between their carrying amount and the paid consideration (including any transferred non-cash assets or liabilities assumed) shall be recognized in profit or loss.

o.

Revenue recognition

After the Group identifies its performance obligations in contracts with customers, it shall amortize the transaction costs to each obligation in the contract and recognize revenue upon satisfaction of performance obligations.

1) Sales revenue of commodities

Sales revenue of commodities comes from the sale of Multi-Functional Photocopiers (MFPs), fax machines, and telecommunication products. When MFPs, fax machines, and telecommunication products are shipped to the locations designated by the customers, the customers have already obtained the rights to establish the price and

usage of the commodities and are primarily liable for the resale of the commodities. The customers shall undertake the related obsolescence risk and the Group will recognize revenue and accounts receivable at that time.

2) Service revenue

Service revenue is derived from the maintenance services of the equipment. Relevant revenue is recognized when services are rendered.

p.

Leases

The Group assesses whether the contract is (or includes) a lease on the date of its establishment.

1) Where the Group is a lessor:

Under operating leases, lease payments after deducting lease incentives are recognized as revenue on a straight-line basis over the relevant lease term. The initial direct costs arising from acquisition of operating leases is added to the carrying amount of the underlying assets; and an expense is recognized for the lease on a straight line basis over the lease term.

Rental changes in lease agreements that do not depend on indices or rates are recognized income in the period in which they are incurred.

2) Where the Group is a lessee:

Except that the lease payments of the low value subject-matter assets and short-term leases applicable to recognition exemption are recognized as expenses on a straight-line basis during the lease period, other leases are recognized as right-of-use assets and lease liabilities on the lease commencement date.

The right-of-use asset is initially measured at cost (including the original measured amount of the lease liability, the lease payment paid before the lease commencement date minus the lease incentive received, the original direct cost and the estimated cost of the recovery target asset), and subsequently measured at cost minus the accumulated depreciation and the accumulated impairment loss and adjusted for the remeasurement of the lease liability. The right-of-use assets are separately expressed in the consolidated balance sheets.

The right-of-use assets shall be depreciated on a straight-line basis from lease commencement date to the end of the useful life or the end of the lease term.

Lease liabilities are initially measured at the present value of lease payments (including fixed payments; in-substance fixed payments; variable lease payments that are determined by an index or a rate; amounts expected to be paid by the lessee under residual value guarantees; the exercise price of a purchase option when it is reasonably certain to exercise the option; and penalties for terminating the lease reflected in the lease term; less any lease incentives receivable). If the implicit interest rate of lease is easy to determine, the interest rate is used to discount the lease payment. If the interest rate is not easy to determine, the lessee's incremental borrowing rate shall be used.

Subsequently, the lease liability is measured on the basis of amortized cost using the effective interest method, and the interest expense is apportioned during the lease period. If the assessments on lease terms, amounts expected to be paid under residual value guarantees and purchase option of the underlying assets; or changes in the index or rate which determines the lease payments result in changes in future lease payments, the Group would remeasure the lease liabilities with a corresponding adjustment on the right-of-use assets. However, if the carrying amount of

right-of-use assets has been reduced to zero, the remaining remeasurement amount is recognized in profit or loss. With regard to changes in leases that are not considered separate leases, the remeasurement of lease liabilities as a result of the decrease in the scope of the lease refers to the reduction in right-of-use assets, with the recognition of the gains or losses on partial or complete termination of the lease. The remeasurement of lease liabilities as a result of other amendments refers to the adjustment in right-of-use assets. Lease liabilities are presented separately in the consolidated balance sheets.

q.

Benefits after retirement

Payments to defined contribution retirement benefit plans are recognized as an expense when employees have rendered service entitling them to the contributions.

The costs of defined benefits under the defined benefit pension plan (including service cost, net interest, and the remeasurement amount) are calculated based on the projected unit credit method. The cost of services (including the cost of services of the current and previous periods) and the net interest of the net defined benefit liabilities are recognized as employee benefit expenses. The remeasurement amount (including actuarial gains and losses (assets) and the return on plan assets after deducting interest) is recognized in other comprehensive income and presented in retained earnings when it occurs or when the plan is revised or reduced. It shall not be reclassified to profit or loss in subsequent periods.

Net defined benefit liabilities are the deficit of the contribution made according to the defined benefit pension plan.

Income tax

Income tax expenses are the sum of the tax in the current year and deferred income tax.

1) Income tax in the current year

The current income tax payable is calculated based on the taxable income in the current year. A portion of the income and expenses is taxable or deductible in other periods or is not taxable or deductible under the relevant tax laws. Therefore, the taxable income differs from the net income reported in the consolidated statements of comprehensive income. The Group's current income tax liabilities are based on the statutory tax rate on the balance sheet date.

The Group determines the income (loss) of the current year in accordance with the laws and regulations in each income tax declaration jurisdiction, and calculates the income tax payable (recoverable) accordingly.

A tax is levied on the unappropriated earnings pursuant to the Income Tax Act of the Republic of China and is recorded as an income tax expense in the year when the shareholders' meeting resolves to appropriate the earnings.

Adjustments to prior year income taxes are shown in the taxes of the current year.

2) Deferred income tax

Deferred income tax is calculated based on the temporary difference between the carrying amount of the assets and liabilities and the taxable basis of the taxable income. Deferred income tax liabilities are generally recognized for all taxable temporary differences and deferred income tax assets are recognized when there are likely taxable income for the deducting temporary differences.

Deferred income tax liabilities are recognized for taxable temporary differences associated with investments in subsidiaries, except where the Group is able to

control the reversal of the temporary difference and it is probable that the temporary difference will not reverse in the foreseeable future. For deductible temporary differences associated with such investment and equity, when it is probable that sufficient taxable income will be available to realize such temporary difference, a deferred tax asset is recognized, but only to the extent of the amount that is expected to be reversed in the foreseeable future.

The carrying amount of the deferred income tax assets is re-examined at each balance sheet date and the carrying amount is reduced for assets that are no longer likely to generate sufficient taxable income to recover all or part of the assets.

Deferred income tax assets and liabilities are measured at the tax rate of the period of expected repayment of liabilities or realization of assets. The rate is based on the tax rate and tax laws that have been enacted prior to the balance sheet date or have been substantially legislated. The measurement of deferred tax liabilities and assets reflects the tax consequences that would follow from the manner in which the Group expects, at the end of the reporting period, to recover or settle the carrying amount of its assets and liabilities.

3) Current and deferred income taxes

Current income tax and deferred income tax are recognized in profit or loss except for those related to items recognized in other comprehensive income that shall be recognized in other comprehensive income.

5. Primary Sources of Uncertainties in Material Accounting Judgments, Estimates, and Assumptions

When the Group adopts accounting policies, the management must make judgments, estimates, and assumptions based on historical experience and other critical factors for related information that are not readily available from other sources. Actual results may differ from these estimates.

The management shall continue to review the estimates and basic assumptions. If an amendment of estimates only affects the current period, it shall be recognized in the period of amendment; if an amendment of accounting estimates affects the current year and future periods, it shall be recognized in the period of amendment and future periods.

After reviewing the accounting policies, estimates, and assumptions adopted by the Group, the management found no material uncertainties.

6. Cash and Cash Equivalents

Cash on hand and working capital Checks and demand deposits in banks Cash equivalents Time deposits with original maturity date within 3 months	December 31, 2020	December 31, 2020	December 31, 2019	December 31, 2019
		$ 3,355 4,849,875 590,895 $ 5,444,125		$ 3,345 4,443,986 1,317,330 $ 5,764,661

Interest rate ranges for time deposits with original maturity date within 3 months are as follows:

December 31, 2020 RMB 2.025% Financial Instruments at Fair Value through Profit or Loss December 31, 2020 Financial assets-current Mandatorily measured at fair value through profit or loss Non-derivative financial assets - Fund beneficiary certificates $ 77,420 Hybrid financial assets - Wealth management products - $ 77,420	December 31, 2020	December 31, 2020	December 31, 2019	December 31, 2019
			4.18% December 31, 2019
		$ 77,420 - $ 77,420		$ 65,122 93,398 $ 158,520

7. Financial Instruments at Fair Value through Profit or Loss

a. For the years ended December 31, 2020 and 2019, net income from financial assets at fair value through profit or loss were and NT$156,023 thousand and NT$180,944 thousand, respectively.
b. As of 31 December 2019, financial products with an expected yield of 4.05%~4.20% were purchased by the Group from banks.
c. For securities held by the Group as of December 31, 2020, please refer to Note XXXVIII (Table 2).

8. Financial Assets at Fair Value through Other Comprehensive Income - Current

Investments in equity instruments Domestic investment Listed stocks Common shares of TSEC Corporation	December 31, 2020 $ -	December 31, 2019	December 31, 2019
			$ 107,823

The Group invested in common shares of TSEC Corporation for medium- and long-term strategic purposes. The management chose to designate these investments to be measured at fair value through other comprehensive income as they believed that recognizing short-term fluctuations in these investments' fair value in profit or loss would not be consistent with the Group's strategy of holding these investments for long-term purposes.

On May 14, 2019, TSEC Corporation reduced its capital, from 21,544 thousand shares to 14,187 thousand shares (about 34%), to make up for the loss of NT$1,628,383 thousand.

The Group adjusted its investment position in 2020 to diversify risks, and sold part of the common shares of TSEC Corporation at a fair value in the amount of NT$339,967 thousand, while the remaining equity—the unrealized profit and loss of financial assets measured at fair value through other comprehensive income in the amount of NT$62,168 thousand are transferred to retained earnings.

9. Financial Assets at Amortized Cost - Current

Time deposits with original maturity over 3 months	December 31, 2020 $ 1,873,326	December 31, 2019	December 31, 2019
			$ 1,229,067

Interest rate ranges for time deposits with original maturity over 3 months are as follows:

RMB	December 31, 2020	December 31, 2019
	2.63%~4.18%	3.95%~4.18%

For securities held by the Group as of December 31, 2020, please refer to Note XXXVIII (Table 2).

10. Other Financial Assets - Non-current

Other Financial Assets - Non-current
December 31, 2020 Restricted bank deposits $ 60,665 Notes Receivables, Accounts Receivables, and Other Receivables December 31, 2020 Notes receivable Measured at amortized cost Total carrying amount $ 190,720 Less: loss allowance - $ 190,720 Accounts receivable Measured at amortized cost Total carrying amount $ 1,331,669 Less: loss allowance ( 27,824) $ 1,303,845 Accounts receivable-related parties Measured at amortized cost Total carrying amount $ 102,688 Less: loss allowance - $ 102,688 Other receivables Rent collected $ 64,915 Related parties 9,929 Interest receivable 5 Others 34,681 $ 109,530 Overdue receivables Overdue receivables $ 26,327 Less: loss allowance ( 26,327) $ -	December 31, 2020		December 31, 2019
			$ 35,459 December 31, 2019
	( (	$ 190,720 - $ 190,720 $ 1,331,669 27,824) $ 1,303,845 $ 102,688 - $ 102,688 $ 64,915 9,929 5 34,681 $ 109,530 $ 26,327 26,327) $ -	( (	$ 186,716 - $ 186,716 $ 1,049,593 30,118) $ 1,019,475 $ 105,127 - $ 105,127 $ 70,332 20,742 481 26,152 $ 117,707 $ 13,849 13,849) $ -

11. Notes Receivables, Accounts Receivables, and Other Receivables

a. Accounts receivable

The Group's credit period for commodity sales averages 60~90 days. To minimize credit risk, the management of the Group has delegated a team responsible for taking other monitoring measures to ensure that follow-up action is taken to recover overdue debts. In addition, the Group reviews the recoverable amount of each individual receivable on the balance sheet date to ensure that adequate allowances are made for possible irrecoverable amounts. As such, the Group's management concludes that the credit risk has been significantly reduced.

The Group adopts the simplified approach as stipulated in IFRS 9 and recognizes loss allowances for accounts receivables based on the lifetime expected credit losses. The lifetime expected credit losses are calculated based on a provision matrix that takes into account the default history and current financial position of customers, as well as the GDP

forecast. Due to the historical experience of credit losses of the Group, there is no significant difference in the loss patterns of different customer groups. Therefore, the provision matrix does not further distinguish the customer base, and only sets the expected credit loss rate based on the overdue days of accounts receivable.

The Group writes off accounts receivable when there is information indicating that the debtor is experiencing severe financial difficulty and there is no realistic prospect of recovery of the receivables. For accounts receivable that have been written off, the Group continues to engage in enforcement activity to attempt to recover the receivables due. Where recoveries are made, they are recognized in profit or loss.

Loss allowances for accounts receivable based on the provision matrix are as follows:

December 31, 2020

December 31, 2020
Expected credit loss rate Total carrying amount Allowance for loss (expected credit losses during the period) Amortized cost December 31, 2019		Not Past Due 0.73% $ 971,520 7,055) $ 964,465 Not Past Due 1.76% $ 837,656 14,744) $ 822,912		1 to 90 Days Past Due 3.77% $ 259,620 9,791) $ 249,829 1 to 90 Days Past Due 4.48% $ 107,904 4,832) $ 103,072	More than 91 Days Past Due 10.92% $ 100,529 ( 10,978) $ 89,551 More than 91 Days Past Due 10.31% $ 104,033 ( 10,542) $ 93,491		Total
	(		(			(	$1,331,669 27,824) $1,303,845 Total
Expected credit loss rate Total carrying amount Allowance for loss (expected credit losses during the period) Amortized cost
	(		(		(	(	$1,049,593 30,118) $1,019,475

Changes in loss allowances for receivables (accounts receivable and overdue receivables) are as follows:

are as follows:
Beginning balance Less: impairment loss in the current period Less: write-off in the current year Exchange difference Ending balance	2020 $ 43,967 12,609 ( 3,187 ) 762 $ 54,151	2019
		$ 51,438 6,697 ( 12,881 ) ( 1,287) $ 43,967

b. Other receivables

Rent was received from the lessee by the Group on behalf of the related party.

12. Inventories

Inventories
Commodities Office automation products, office supplies, and computer equipment System furniture Raw materials Work in process Goods in Transit	December 31, 2020 $ 821,747 474,945 125,704 24,189 17,064 $ 1,463,649		December 31, 2019
			$ 939,014 420,312 101,217 26,787 37,472 $ 1,524,802

The costs of goods sold related to inventories for the years ended December 31, 2020 and 2019 were NT$6,890,604 thousand and NT$7,330,696 thousand, respectively. Operating costs, including inventory write-down, for the years ended December 31, 2020 and 2019 were NT$14,527 thousand and NT$4,943 thousand, respectively.

13. Subsidiaries

a. Subsidiaries included in the consolidated financial statements

The entities involved in the preparation of the Consolidated Financial Statements are listed as follows:

Name of Investor	Name of Subsidiary	Place of Establishment	Percentage of Ownership	Percentage of Ownership	Main Business Activities	Functional Currency
			December 31, 2020	December 31, 2019
The Company	Aurora (Bermuda) Investment Ltd. (Aurora (Bermuda)) Aurora Office Automation Corporation (Aurora Office Automation)	Bermuda Taiwan	88.04% 91.13%	88.04% 91.13%	A holding company. The main operating risks of Aurora (Bermuda) and its subsidiaries are political risks and exchange rate risks arising from government orders and cross-strait movements. Import/export and wholesale of Multi-Functional Photocopiers (MFPs). The main operating risks are exchange rate risks.	RMB NTD

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Name of Investor	Name of Subsidiary	Place of Establishment	Percentage of Ownership	Percentage of Ownership	Main Business Activities	Functional Currency
			December 31, 2020	December 31, 2019
The Company General Integration	General Integration Technology Co., Ltd. (General Integration) KM Developing Solutions Co., Ltd. (KM Developing) Aurora Machinery Equipment (Shanghai) Co., Ltd. (Aurora Machinery Equipment) (Notes 1 and 6) Ever Young Biodimension Corporation (Ever Young Biodimension) (Note 2) Ever Young Biodimension (Note 2) Aurora Machinery Equipment (Notes 1 and 6)	Taiwan Taiwan Mainland China Taiwan Taiwan Mainland China	55.00% 70.00% 70.00% 26.00% 25.00% 30.00%	55.00% 70.00% 70.00% 26.00% 25.00% 30.00%	Manufacturing of molds and machinery and wholesale of precision instruments. The main operating risks are exchange rate risks. Wholesale and retail of information software, computer equipment, and Multi-Functional Photocopiers (MFPs). The main operating risks are exchange rate risks. Wholesale of mechanical and electronic equipment, ICT equipment, and computer hardware and software. The main operating risks are political risks and exchange rate risks arising from government orders and cross-strait movements. Wholesale of precision instruments. Wholesale of precision instruments. Wholesale of mechanical and electronic equipment, ICT equipment, and computer hardware and software.	NTD NTD RMB NTD NTD RMB

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Name of Investor	Name of Subsidiary	Place of Establishment	Percentage of Ownership	Percentage of Ownership	Main Business Activities	Functional Currency
			December 31, 2020	December 31, 2019
Aurora (Bermuda) Aurora (China) Investment Aurora (China)	Aurora (China) Investment Co., Ltd. (Aurora (China) Investment) Aurora Office Equipment Co., Ltd. (Shanghai) (Aurora Office Equipment) Aurora (China) Co., Ltd. (Aurora (China)) Aurora (Jiang Su) Enterprise Development Co., Ltd. (Aurora (Jiang Su)) (Note 3) Aurora Office Automation Sales Co., Ltd. Shanghai Aurora (Shanghai) Cloud Technology Co., Ltd. (Aurora Cloud) Aurora Home Furniture Co., Ltd. (Aurora Home) (Note 4) Aurora (Shanghai) Electronic Commerce Co., Ltd. (Aurora Electronic Commerce) (Note 5)	Mainland China Mainland China Mainland China Mainland China Mainland China Mainland China Mainland China Mainland China	100.00% 100.00% 100.00% 100.00% 100.00% 70.00% 100.00% 70.00%	100.00% 100.00% 100.00% 100.00% 100.00% 70.00% 100.00% -	A holding company. Production and sales of Multi-Functional Photocopiers (MFPs). Manufacture and sales of office furniture. Reinvestment and property lease. Sales, lease, and agency of Aurora brand products. Sales and consulting services of printing, office equipment, and furniture. Production and sales of furniture. Sales on e-commerce platforms.	RMB RMB RMB RMB RMB RMB RMB RMB

Note 1: The Company and General Integration invested RMB25,000 thousand in establishing Aurora Machinery Equipment in November 2018, holding 70% and 30% of its shares respectively.
Note 2: The Company's shareholding in Ever Young Biodimension is 26%, and General Integration holds 25% of Ever Young Biodimension's shares, totaling over 50% of the voting rights of Ever Young Biodimension. As the Group has control over Ever Young Biodimension, it is classified as a subsidiary.
Note 3: In June 2019, Aurora (China) Investment invested RMB100,000 thousand in establishing 100%-owned Aurora (Jiang Su). As of December 2020, the paid-in capital of Aurora (Jiang Su) was RMB200,000 thousand.
Note 4: On July 1, 2019, the Group acquired 50% of the equity of Aurora Home, increasing the shareholding ratio from 50% to 100%. Since July 1, 2019, the accounts of Aurora Home have been merged into the consolidated financial statements.

Note 5: In May 2020, Aurora (China) Co., Ltd. invested RMB3,500 thousand in Aurora (Shanghai) Electronic Commerce Co., Ltd., and the shareholding percentage was 70%.

Note 6: The financial statements of Aurora Machinery Equipment were not audited by the CPAs; however, the management of the Group believed that this fact would not cause any significant difference.

Please refer to Note XXXVIII (Tables 7 and 8) for information on the main business premises and countries of registration.

b. Subsidiaries not included in the consolidated financial statements: None.
c.
Information on subsidiaries with material non-controlling interests

Subsidiaries not included in Information on subsidiaries	the consolidated financial statements: None. with material non-controlling interests	nsolidated financial statements: None. aterial non-controlling interests	nsolidated financial statements: None. aterial non-controlling interests	nsolidated financial statements: None. aterial non-controlling interests	nsolidated financial statements: None. aterial non-controlling interests	nsolidated financial statements: None. aterial non-controlling interests
Name of Subsidiary	Percentage of Shares and Voting Rights Held by Non-controlling Interests December 31, 2020 December 31, 2019 11.96% 11.96% 8.87% 8.87% Profit or Loss Allocated to Non-controlling Interests Non-controlling Interests 2020 2019 December 31, 2020 December 31, 2019 $ 98,952 $ 95,694 $982,911 $867,229 24,826 28,528 207,155 190,283	Percentage of Shares and Voting Rights Held by Non-controlling Interests
		December 31, 2020		December 31, 2019 11.96% 8.87% Non-controlling Interests	December 31, 2019
Aurora (Bermuda) and its subsidiaries Aurora Office Automation Name of Subsidiary Aurora (Bermuda) and its subsidiaries (excluding non-controlling interests of its subsidiaries) Aurora Office Automation
	2020 $ 98,952 24,826		2019	December 31, 2020		December 31, 2019
			$ 95,694 28,528	$982,911 207,155		$867,229 190,283

The summarized financial information of the following subsidiaries is prepared according to the amount before the write-off of intercompany transactions:

Aurora (Bermuda) and its subsidiaries

Current Assets Non-current assets Current Liabilities Non-current liabilities Equity Equity attributable to: Owners of the Company Non-controlling interests of Aurora (Bermuda) Non-controlling interests of Aurora (Bermuda)'s subsidiaries	December 31, 2020 $ 9,221,734 1,831,853 ( 2,497,127 ) ( 333,467) $ 8,222,993 $ 7,235,407 982,911 4,675 $ 8,222,993	December 31, 2019
		$ 8,785,746 1,511,598 ( 2,604,408 ) ( 440,981) $ 7,251,955 $ 6,383,849 867,229 877 $ 7,251,955

		2020		2019
Operating revenue		$ 8,637,151		$ 9,347,967
Net income		$ 824,635		$ 798,389
Other comprehensive income		140,105	(	280,999)
Total comprehensive income		$ 964,740		$ 517,390
Net income attributable to:
Owners of the Company		$ 728,405		$ 704,423
Non-controlling interests of
Aurora (Bermuda)		98,952		95,694
Non-controlling interests of
Aurora (Bermuda)'s
subsidiaries	(	2,722)	(	1,728)
		$ 824,635		$ 798,389
Total comprehensive income
attributable to:
Owners of the Company		$ 851,558		$ 457,063
Non-controlling interests of
Aurora (Bermuda)		115,682		62,091
Non-controlling interests of
Aurora (Bermuda)'s
subsidiaries	(	2,500)	(	1,764)
		$ 964,740		$ 517,390
		2020		2019
Cash flows from:
Operating activities		$ 1,171,701		$ 674,105
Investing activities	(	910,775 )	(	1,030,921 )
Financing activities	(	736,473)	(	234,143)
Net cash flows used	(	$ 475,547)	(	$ 590,959)
Aurora Office Automation
	December 31, 2020		December 31, 2019
Current Assets		$ 559,297		$ 625,557
Non-current assets		2,613,041		2,625,306
Current Liabilities	(	412,168 )	(	525,124 )
Non-current liabilities	(	424,716)	(	580,494)
Equity		$ 2,335,454		$ 2,145,245
Equity attributable to:
Owners of the Company		$ 2,128,299		$ 1,954,962
Non-controlling interests of
Aurora Office
Automation		207,155		190,283
		$ 2,335,454		$ 2,145,245

Operating revenue Net income Other comprehensive income Total comprehensive income Net income attributable to: Owners of the Company Non-controlling interests of Aurora Office Automation Total comprehensive income attributable to: Owners of the Company Non-controlling interests of Aurora Office Automation Cash flows from: Operating activities Investing activities Financing activities Net cash flows (used) Dividends paid to non-controlling interests Aurora Office Automation		2020 $ 830,161 $ 279,885 226,340 $ 506,225 $ 255,059 24,826 $ 279,885 $ 461,323 44,902 $ 506,225 2020 $ 196,501 456,537 627,189) $ 25,849 $ 28,044		2019
			(	$ 815,830 $ 321,629 157,716) $ 163,913 $ 293,101 28,528 $ 321,629 $ 149,374 14,539 $ 163,913 2019
	(		( (	$ 144,394 140,353 336,689) $ 51,942) $ 32,050

14. Investments Accounted for Using the Equity Method

a. Investments in associates

stments Accounted for Using the Investments in associates	Equity Method	Equity Method
Significant associates Listed companies Huxen Corporation Individually insignificant associates Unlisted companies Aurora Development Corp. Huxen (China) Co., Ltd. Aurora Telecom Co., Ltd. Chongqing Gonggangzhihui Additive Manufacturing Technology Research Institute Co., Ltd.	December 31, 2020		December 31, 2019
		$ 1,771,646 496,580 642,007 233,504 13,189 $ 3,156,926		$ 1,693,214 466,468 608,777 256,095 15,032 $ 3,039,586

The percentage of ownership, equities, and voting rights of the Group in associates on the balance sheet date are as follows:

balance sheet date are as follows:
Name of Company	December 31, 2020 40.26% 46.67% 30.00% 30.40% 20.00%	December 31, 2019
Huxen Corporation Aurora Development Corp. Huxen (China) Co., Ltd. Aurora Telecom Co., Ltd. Chongqing Gonggangzhihui Additive Manufacturing Technology Research Institute Co., Ltd.		40.26% 46.67% 30.00% 30.40% 20.00%

Please refer to Note XXXVII (Tables 7 and 8) for the aforementioned associates' nature of business, main business premises, and countries of registration.

The profit or loss and other comprehensive income of investments accounted for using the equity method and the Company’s share in these investments were calculated based on the financial statements audited by the CPAs, except for Aurora Telecom Co., Ltd. However, the management of the Group believed that the unaudited financial statements of Aurora Telecom Co., Ltd. would not lead to significant adjustments.

Fair values (Level 1) of investments in associates with open market quotations are summarized as follows:

summarized as follows:
Name of Company Huxen Corporation	December 31, 2020 $ 2,996,302	December 31, 2019
			$ 3,269,751

All the aforementioned associates are accounted for using the equity method.

The summary of financial information below is based on individual associates’ financial statements prepared in accordance with the IFRSs for which adjustments have been made in the Consolidated Financial Statements due to the use of the equity method.

Huxen Corporation Current Assets Non-current assets Current Liabilities Non-current liabilities Equity Percentage of shares held by the Group Interests of the Group Unrealized gains (losses) on transactions with investees Unrealized gains (losses) on transactions between investees Goodwill Investment carrying amount Operating revenue Net income Other comprehensive income Total comprehensive income Dividends received from the associate	December 31, 2020 $ 1,232,685 4,880,103 ( 1,213,982 ) ( 718,985) $ 4,179,821 40.26% $ 1,682,796 ( 92,358 ) ( 202,056 ) 383,264 $ 1,771,646 2020 $ 1,409,767 $ 568,211 ( 13,763) $ 554,448 $ 221,086	December 31, 2019	December 31, 2019
		$ 1,285,337 4,819,103 ( 1,118,054 ) ( 811,928) $ 4,174,458 40.26% $ 1,680,636 ( 95,993 ) ( 274,717 ) 383,288 $ 1,693,214 2019
	(	(	$ 1,404,678 $ 611,951 254,151) $ 357,800 $ 203,632

Information on individually insignificant associates is summarized below:

The Group's share of: Net income Other comprehensive income Total comprehensive income		2020 $ 20,883 21,070 $ 41,953		2019
			(	$ 31,925 14,532) $ 17,393

b. Investments in joint ventures

According to the joint venture agreement signed between the Company and Fursys (South Korea), both parties shall jointly establish and control Aurora Home, whose main business activity is to produce and sell furniture. On July 1, 2019, Aurora (China) Co., Ltd. acquired 50% of Aurora Home' shares from Fursys at NT$152,554 thousand, which increased the Group's shareholding ratio to 100%. Therefore, Aurora Home is listed as a subsidiary. For the loss on disposal of the share of investments in joint ventures accounted for using the equity method, NT$11,348 thousand, and the gain on bargain purchase of NT$5,241 thousand, please refer to Notes XXVI and XXIX.

c. Share of profit or loss and other comprehensive income of associates and joint ventures accounted for using the equity method are as follows:
1) Share of profit or loss of associates and joint ventures accounted for using the equity method

method
Huxen Corporation Aurora Development Corp. Huxen (China) Co., Ltd. Aurora Telecom Co., Ltd. Chongqing Gonggangzhi hui Additive Manufacturin g Technology Research Institute Co., Ltd. Aurora Home Furniture Co., Ltd.	2020		2019
	Profit or Loss of Investee	Investment Profit or Loss Recognized by the Group	Profit or Loss of Investee	Investment Profit or Loss Recognized by the Group
	$ 568,211 49,233 75,148 ( 74,310 ) ( 10,240 ) -	$ 228,762 22,977 22,545 ( 22,591 ) ( 2,048 ) - $ 249,645	$ 611,951 6,798 130,486 ( 37,648 ) 10,810 21,697	$ 246,371 3,165 39,146 ( 12,548 ) 2,162 3,392 $ 281,688

2) Share of other comprehensive income of associates and joint ventures accounted for using the equity method

using the equity	method
Huxen Corporation Aurora Development Corp. Huxen (China) Co., Ltd. Aurora Home Furniture Co., Ltd.	2020		2019
	Other Comprehensive Income of Investee	Other Comprehensive Income Recognized by the Group	Other Comprehensive Income of Investee ( $ 254,151 ) 19,402 ( 78,623 ) 25,026	Other Comprehensive Income Recognized by the Group
	( $ 13,763 ) 22,251 35,618 -	( $ 5,541 ) 10,385 10,685 - $ 15,529		( $ 102,321 ) 9,055 ( 23,587 ) 12,513 ($ 104,340)

15. Property, Plant, and Equipment

Property, Plant, and Equipment
For self-use Operating lease	December 31, 2020 $ 1,899,174 416,567 $ 2,315,741	December 31, 2019
			$ 1,466,120 473,556 $ 1,939,676

a. For self-use

Cost Balance as of January 1, 2020 Addition Inventories transferred to property, plant, and equipment Property, plant, and equipment transferred to inventories Disposal and obsolescence Reclassifications Conversion adjustment Balance as of December 31, 2020 Accumulated depreciation Balance as of January 1, 2020 Depreciation expenses Property, plant, and equipment transferred to inventories Disposal and obsolescence Conversion adjustment Balance as of December 31, 2020 Net amount as of December 31, 2020 Cost Balance as of January 1, 2019 Acquisition through business combinations Addition Inventories transferred to property, plant, and equipment Property, plant, and equipment transferred to inventories Disposal and obsolescence Reclassifications		Self-owned Land	Housing and Construction	Machinery	Transportation Equipment	Office Equipment	Construction in Process	Total
		$543,199 77,869 - - - - - 621,068 - - - - - - $621,068 $543,199 - - - - - -	$1,522,958 16,880 - - ( 37,186 ) 4,564 21,503 1,528,719 997,630 68,700 - ( 34,329 ) 15,279 1,047,280 $481,439 $1,513,663 - 28,865 - - ( 2,129 ) 33,727	$634,078 49,993 - - ( 28,890 ) - 10,020 665,201 452,016 46,083 - ( 22,183 ) 7,551 483,467 $181,734 $614,681 28,857 63,634 - - ( 50,311 ) -	$ 31,818 1,439 - - ( 553 ) - 544 33,248 27,609 901 - ( 550 ) 461 28,421 $ 4,827 $ 30,746 3,171 257 - - ( 1,107 ) -	$570,122 68,891 5,655 ( 23,438 ) ( 80,338 ) - 6,093 546,985 373,331 94,373 ( 16,721 ) ( 73,436 ) 4,952 382,499 $164,486 $529,594 4,716 106,200 16,043 ( 6,499 ) ( 64,411 ) -	$ 14,531 425,990 - - - ( 4,564 ) 9,663 445,620 - - - - - - $445,620 $ 17,343 - 31,481 - - - ( 33,727 )	$3,316,706 641,062 5,655 ( 23,438 ) ( 146,967 ) - 47,823 3,840,841 1,850,586 210,057 ( 16,721 ) ( 130,498 ) 28,243 1,941,667 $1,899,174 $3,249,226 36,744 230,437 16,043 ( 6,499 ) ( 117,958 ) -

Conversion adjustment Balance as of December 31, 2019 Accumulated depreciation Balance as of January 1, 2019 Acquisition through business combinations Depreciation expenses Property, plant, and equipment transferred to inventories Disposal and obsolescence Conversion adjustment Balance as of December 31, 2019 Accumulated impairment Balance as of January 1, 2019 Disposal and obsolescence Balance as of December 31, 2019 Net amount as of December 31, 2019		Self-owned Land		Housing and Construction		Machinery		Transportation Equipment		Office Equipment	Construction in Process	Construction in Process		Total
		- 543,199 - - - - - - - - - - $543,199	(51,168) 1,522,958 953,513 - 79,891 - ( 1,740 ) (34,034) 997,630 - - - $525,328		(22,783) 634,078 454,490 20,589 42,525 - ( 48,816 ) (16,772) 452,016 - - - $182,062		( 1,249) 31,818 25,588 3,060 1,074 - ( 1,027 ) ( 1,086) 27,609 31 ( 31) - $ 4,209		(15,521) 570,122 344,726 4,429 83,577 ( 2,773 ) ( 45,023 ) (11,605) 373,331 - - - $196,791		(	566) 14,531 - - - - - - - - - - $ 14,531	(91,287) 3,316,706 1,778,317 28,078 207,067 ( 2,773 ) ( 96,606 ) (63,497) 1,850,586 31 ( 31) - $1,466,120

No indication of impairment was identified in 2020 and 2019.

Depreciation expenses are calculated on a straight-line basis according to the following durable years:

expenses are calculated on a straight-line :	expenses are calculated on a straight-line :	basis according to th
Housing and Construction
Warehouses		20 years
Plants and buildings		20~55 years
Mechanical and	electrical
engineering		25~30 years
Housing improvements		10~34 years
Machinery
Monitoring instruments	and water
softeners		2~15 years
Air compressors		16 years
Transportation Equipment		4~5 years
Office Equipment		1~15 year(s)

b. Operating leases - office equipment

Cost Beginning balance Inventories transferred to property, plant, and equipment Property, plant, and equipment transferred to inventories Disposal and obsolescence Effect of exchange rate changes Ending balance Accumulated depreciation Beginning balance Depreciation expenses Property, plant, and equipment transferred to inventories Disposal and obsolescence Effect of exchange rate changes Ending balance Ending net amount	From January 1, 2020 to December 31, 2020 $ 1,303,913 177,200 ( 126,665 ) ( 122,660 ) ( 155) 1,231,633 830,357 215,873 ( 109,184 ) ( 121,839 ) ( 141) 815,066 $ 416,567	From January 1, 2019 to December 31, 2019
		$ 1,237,710 300,179 ( 91,537 ) ( 140,710 ) ( 1,729) 1,303,913 840,349 207,355 ( 76,521 ) ( 139,251 ) ( 1,575) 830,357 $ 473,556

For the Group's MFPs through operating leases, the lease period is 1 to 6 year(s). Lessees do not have preferential rights to acquire the MFPs at the expiration of the lease period.

The total lease payments (excluding revenue from printing services) to be received in the future for operating leases are as follows:

Year 1 Year 2 Year 3 Year 4 Year 5 Over 5 years	December 31, 2020 $ 118,426 41,963 20,926 8,301 2,534 9 $ 192,159	December 31, 2019	December 31, 2019
			$ 49,968 27,028 14,884 7,327 2,715 - $ 101,922

Depreciation expenses are calculated on a straight-line basis according to the following durable years:

Leased assets (MFPs) Used MFPs 1~2 year(s) New MFPs 3~5 years

c. For the amount of property, plant, and equipment pledged as collateral, please refer to Note XXXIV.

16. Lease Agreements

a. Right-of-use assets

e Agreements Right-of-use assets
Cost Beginning balance Addition Disposal and obsolescence Conversion adjustment Ending balance Accumulated depreciation Beginning balance Depreciation expenses Disposal and obsolescence Conversion adjustment Ending balance Ending net amount Cost Beginning balance Addition Disposal and obsolescence Conversion adjustment Ending balance Accumulated depreciation Beginning balance Depreciation expenses Disposal and obsolescence Conversion adjustment Ending balance Ending net amount		2020
	Land and Buildings $ 950,181 412,949 ( 251,694 ) 14,650 1,126,086 265,949 396,680 ( 157,689 ) 7,819 512,759 $ 613,327	Transportation Equipment $ 26,471 25,517 ( 8,821 ) - 43,167 8,414 14,985 ( 8,142 ) - 15,257 $ 27,910 2019	Total
			$ 976,652 438,466 ( 260,515 ) 14,650 1,169,253 274,363 411,665 ( 165,831 ) 7,819 528,016 $ 641,237
	Land and Buildings $ 427,325 603,101 ( 53,332 ) ( 26,913) 950,181 - 303,769 ( 30,684 ) ( 7,136) 265,949 $ 684,232	Transportation Equipment $ 12,288 19,687 ( 5,504 ) - 26,471 - 13,784 ( 5,370 ) - 8,414 $ 18,057		Total
			$ 439,613 622,788 ( 58,836 ) ( 26,913) 976,652 - 317,553 ( 36,054 ) ( 7,136) 274,363 $ 702,289

b. Lease liabilities

Lease liabilities
December 31, 2020 Carrying amount of lease liabilities Current $ 310,468 Non-current $ 346,260 Ranges of discount rates for lease liabilities are as follows: December 31, 2020 Land and Buildings 0.783%~5.655% Transportation Equipment 0.783%~0.862%	December 31, 2019
	$ 272,725 $ 438,574 December 31, 2019
	0.783%~4.785% 0.783%~0.844%

c. Major lease activities and terms

The Group leases land, buildings, and transportation equipment for operations, and the lease term is between 1 to 23 year(s). When the lease term ends, the Group has no preferential rights to purchase the leased vehicles and business premises.

d. Other lease information

For agreements on operating leases for the leasing out of property, plant, and equipment and investment property, please refer to Notes XV and XVII.

		2020		2019
Short-term lease expenses	($	3,635)	($	2,337)
Total cash flows on lease
`－`Repayment of lease
liabilities	( $	405,237 )	( $	328,317 )
`－`Interest expenses paid	(	18,993)	(	25,477)
	($	424,230)	($	353,794)

The Group selects to apply the recognition exemptions to leases of parking spaces that qualify as short-term leases and cloud service platforms that qualify as leases of low-value assets. Consequently, the Group does not recognize any right-of-use assets or lease liabilities for the said leases.

17. Investment Property

Cost Beginning balance Disposal and obsolescence Ending balance Accumulated depreciation Beginning balance Depreciation expenses Disposal and obsolescence Ending balance Accumulated impairment Beginning balance Ending balance Ending net amount			2020						2019
		Land $369,363 814 ) ( 368,549 - - - ( - - - $368,549	Housing and Construction		Total		Land $369,363 - 369,363 - - - - - - $369,363		Housing and Construction $185,532 - 185,532 81,162 5,387 - 86,549 2,435 2,435 $ 96,548	Total
	(		$185,532 12,119 ) 173,413 86,549 5,361 3,253) 88,657 2,435 2,435 $ 82,321	( (	$554,895 12,933) 541,962 86,549 5,361 3,253) 88,657 2,435 2,435 $450,870					$554,895 - 554,895 81,162 5,387 - 86,549 2,435 2,435 $465,911

The investment property is subject to a lease term of 4 to 5 years. Lessees have no preferential right to purchase the investment property at the end of the lease term.

The total amount of lease payments to be collected in the future for investment property on operating lease is as follows:

operating lease is as follows:
Year 1 Year 2 Year 3 Year 4	December 31, 2020 $ 45,314 6,044 3,333 - $ 54,691	December 31, 2019
			$ 8,925 5,714 5,714 3,333 $ 23,686

Depreciation expenses are calculated on a straight-line basis according to the following durable years:

Main buildings 30~55 years Decoration 5~10 years

For the amount of investment property pledged as collateral, please refer to Note XXXIV.

The fair value of the investment property was assessed by the management with reference to the prevailing market information as follows:

Fair value	December 31, 2020	December 31, 2020	December 31, 2019	December 31, 2019
		$ 611,079		$ 649,510

18. Intangible Assets

a. Goodwill

ngible Assets Goodwill
Carrying amount Goodwill	December 31, 2020 $ 132,801	December 31, 2019
			$ 132,728

No indication of impairment was identified in 2020 and 2019.

b. Other intangible assets

Cost Beginning balance Addition Disposal and obsolescence Conversion adjustment Ending balance Accumulated amortization Beginning balance Amortization expenses Disposal and obsolescence Conversion adjustment Ending balance Ending net amount		2020				2019
	Trademark Right	Computer Software	Total		Trademark Right	Computer Software $ 72,814 27,947 ( 2,135 ) ( 2,347) 96,279 49,262 14,795 ( 2,135 ) ( 1,508) 60,414 $ 35,865	Total
	$ 2,531 - ( 1,723 ) - 808 2,470 41 ( 1,723 ) - 788 $ 20	$ 96,279 24,657 ( 20,933 ) 1,348 101,351 60,414 16,899 ( 20,933 ) 783 57,163 $ 44,188	$ 98,810 24,657 ( 22,656 ) 1,348 102,159 62,884 16,940 ( 22,656 ) 783 57,951 $ 44,208		$ 2,531 - - - 2,531 2,430 40 - - 2,470 $ 61		$ 75,345 27,947 ( 2,135 ) ( 2,347) 98,810 51,692 14,835 ( 2,135 ) ( 1,508) 62,884 $ 35,926

No indication of impairment was identified in 2020 and 2019.

Amortization expenses are calculated on a straight-line basis over the following useful lives:

Trademark right 20 years Computer Software 1~10 year(s)

19. Other Assets

Other Assets
Prepayments for goods Other prepayments Prepayments for equipment Others Current Non-current	December 31, 2020		December 31, 2019 $ 125,729 49,801 23,831 7,283 $ 206,644 $ 177,999 28,645 $ 206,644
		$ 232,290 41,937 10,741 11,585 $ 296,553 $ 281,074 15,479 $ 296,553		$ 125,729 49,801 23,831 7,283 $ 206,644 $ 177,999 28,645 $ 206,644

20. Loans

a. Short-term loans

s Short-term loans
Credit loans Loans for material purchase Credit loans: NTD USD Loans for material purchase: USD	December 31, 2020		December 31, 2019
		$ 2,557,000 64,620 $ 2,621,620 0.69%~1.28% - 0.72%~0.81%		$ 2,810,456 3,812 $ 2,814,268 0.74%~0.92% 2.89% 2.38%~2.52%

1) Please refer to Note XXXIV for assets pledged as collateral for the above-mentioned loans.
2) Please refer to Note XXXV (II) for guaranteed notes issued to financial institutions.
b. Short-term notes and bills payable

The outstanding short-term bills payable as of the balance sheet date are as follows:

December 31, 2020

Guarantor/Accepting Institution Commercial paper payable Taishin International Bank KGI Bank	Nominal Amount	Discounted Amount		Carrying amount	Interest Rate	Collateral
	$300,000 20,000 $320,000	( $ 345 ) ( 4) ($ 349)		$299,655 19,996 $319,651	0.750% 0.918%	None None

December 31, 2019 Guarantor/Accepting Institution Commercial paper payable Taiwan Finance Cooperation Dah Chung Bills Finance Corp. KGI Bank	Nominal Amount	Discounted Amount		Carrying amount	Interest Rate 0.968% 0.938% 0.860%	Collateral
	$ 40,000 40,000 20,000 $100,000	( $ 2 ) ( 2 ) ( 4) ($ 8)		$ 39,998 39,998 19,996 $ 99,992		None None None

c. Long-term loans

Secured loans Bank loans (1) Unsecured loans Bank loans (2)		December 31, 2020	December 31, 2019	December 31, 2019
		$ 820,000 520,000 $ 1,340,000		$ 1,170,000 310,000 $ 1,480,000

1) Loans are secured by pledge of land and buildings held by the Group (see Note XXXIV), with interest accruing at floating rates and the remaining maturity period of not more than 2 years as of December 31, 2020 and 2019. The rate ranges were 0.71%~1.00% and 0.87%~0.90% per annum, respectively. Interest is paid on a monthly basis, and the principal is paid at maturity for subsequent borrowing.
2) Unsecured loans are bank loans at floating rates. As of December 31, 2020 and 2019, the rate ranges were 0.81%~1.00% and 0.87%~0.90% per annum, respectively. Interest is paid on a monthly basis, and the principal is paid at maturity for subsequent borrowing.

21. Accounts Payable

The payment period averages 2 months. The Group has financial risk management policies to ensure that all payables are paid within the pre-agreed credit terms.

22. Other Liabilities

a. Other payables

r Liabilities Other payables
Salaries and bonuses payable Incentives payable Business taxes payable Advertising fees payable Related parties Freight payable Holiday benefits payable Others		December 31, 2020 $ 531,573 163,286 135,667 109,140 65,034 39,240 9,795 167,657 $ 1,221,392	December 31, 2019
				$ 584,594 129,875 75,132 63,242 70,357 32,491 10,008 113,635 $ 1,079,334

Other payables - related parties are monthly payments of rental collected from lessees by the Group on behalf of related parties.

b. Other current liabilities

Other current liabilities
Temporary credits Receipts under custody	December 31, 2020 $ 85,529 6,182 $ 91,711	December 31, 2019
			$ 60,824 7,206 $ 68,030

23. Post-retirement Benefit Plan

a. Defined contribution plans

The Company and Aurora Office Automation, General Integration, KM Developing, and Ever Young Biodimension adopt a pension plan under the Labor Pension Act, which is a state-managed defined contribution plan. According to the Labor Pension Act, the Group makes monthly contributions to employees' individual pension accounts at 6% of their monthly salaries.

Aurora (Bermuda), General Integration (Guangzhou), and Aurora Machinery Equipment did not draw up a retirement policy. Aurora (Bermuda)'s subsidiaries, including Aurora (China) Investment, Aurora Office Equipment, Aurora (China), Aurora (Jiang Su), Aurora Office Automation Sales Co., Ltd., Aurora Cloud, Aurora Home Furniture Co., Ltd., and Aurora (Shanghai) Electronic Commerce Co., Ltd. have drawn up the retirement policies in accordance with the regulations of the Shanghai Municipal People's Government, which also fell into the defined contribution plans; that is, a certain percentage of the employees’ basic wages would be contributed to the pension fund and deposited into the designated pension fund accounts. The above companies contributed a certain percentage of employees' basic wages to the pension fund.

b. Defined benefit plans

The pension system adopted by the Company, Aurora Office Automation, and General Integration under the "Labor Standards Act" is a state-managed defined benefit plan. The payment of the employee's pension is based on the period of service and the average salary of 6 months before the approved retirement date. The Company, Aurora Office Automation, and General Integration allocate 2%, 10%, and 2% of employees' monthly salaries respectively to the Supervisory Committee of Labor Retirement Reserve's dedicated account in the Bank of Taiwan as pension reserve funds. The Bureau of Labor Funds, Ministry of Labor administers the account. The Company, Aurora Office Automation, and General Integration have no right over its investment and administration strategies.

The amounts of defined benefit plans included in the consolidated balance sheets are as follows:

follows:
Present value of defined benefit obligation Fair value of plan assets Net defined benefit liabilities	December 31, 2020 $ 533,948 ( 52,495) $ 481,453	December 31, 2019
	(	(	$ 522,114 36,501) $ 485,613

Changes in net defined benefit liabilities (assets) are as follows:

January 1, 2020 Service costs Service costs for the current period Service costs for the previous period Interest expenses (income) Recognized in profit or loss Remeasurements Return on plan assets (excluding interest income calculated by a discount rate) Actuarial losses - changes in demographic assumptions Actuarial losses - changes in financial assumptions Actuarial losses - experience adjustments Recognized in other comprehensive income Contribution by the employer Benefits paid on plan assets December 31, 2020 January 1, 2019 Service costs Service costs for the current period Service costs for the previous period Interest expenses (income) Recognized in profit or loss Remeasurements Return on plan assets (excluding interest income calculated by a discount rate)		Present value of defined benefit obligation $ 522,114 1,329 4,501 4,029 9,859 - 4,777 13,369 11,046 29,192 - 27,217) $ 533,948 $ 517,938 2,072 261 5,823 8,156 -	Fair value of plan assets ($ 36,501) - - ( 491) ( 491) ( 1,106 ) - - - ( 1,106) ( 41,614 ) 27,217 ($ 52,495) ($ 47,555) - - ( 693) ( 693) ( 1,139 )	Net defined benefit liabilities (assets)
	(			$ 485,613 1,329 4,501 3,538 9,368 ( 1,106 ) 4,777 13,369 11,046 28,086 ( 41,614 ) - $ 481,453 $ 470,383 2,072 261 5,130 7,463 ( 1,139 )

Actuarial losses - changes in demographic assumptions Actuarial losses - changes in financial assumptions Actuarial losses - experience adjustments Recognized in other comprehensive income Contribution by the employer Benefits paid on plan assets December 31, 2019		Present value of defined benefit obligation 5,219 20,500 12,204 37,923 - 41,903) $ 522,114	Fair value of plan assets - - - ( 1,139) ( 29,017 ) 41,903 ($ 36,501)	Net defined benefit liabilities (assets)
	(			5,219 20,500 12,204 36,784 ( 29,017 ) - $ 485,613

The Group has the following risks owing to the implementation of the pension system under the Labor Standards Act:

1) Investment risks: The Bureau of Labor Funds, Ministry of Labor invests the labor pension fund in equity securities, debt securities, and bank deposits in domestic (foreign) banks through independent implementation and commissioned operations. However, the distributed amount from the plan assets received by the Group shall not be lower than interest on a two-year time deposit at a local bank.
2) Interest rate risk: The decrease in the interest rate of government bonds/corporate bonds will increase the present value of defined benefit obligations, but the yield on debt investment of plan assets will also increase accordingly, which will partially offset the impact on net defined benefit liabilities.
3) Salary risk: The present value of defined benefit obligations is calculated with reference to future salaries of plan members. Therefore, the salary increase of plan members will increase the present value of the defined benefit obligation.

The present value of the Group's defined benefit obligations is calculated by certified actuaries and the major assumptions on the assessment date are as follows:

Discount rate Average long-term salary adjustment rate	December 31, 2020 0.500% 2.000%	December 31, 2019
		0.750% 2.000%

If changes occur in major actuarial assumptions with other assumptions unchanged, the present value of defined benefit obligations will increase (decrease) as follows:

Discount rate Increase by 0.25% Decrease by 0.25% Expected salary increase rate Increase by 0.25% Decrease by 0.25%	December 31, 2020	December 31, 2020	December 31, 2019	December 31, 2019
		($ 13,481) $ 13,980 $ 13,528 ($ 13,115)		($ 13,918) $ 14,439 $ 13,993 ($ 13,550)

As actuarial assumptions may be related to one another, the likelihood of fluctuation in a single assumption is not high. Therefore, the aforementioned sensitivity analysis may not reflect the actual fluctuations of the present value of defined benefit obligations.

Expected amount of contribution within 1 year Average duration of defined benefit obligations	December 31, 2020	December 31, 2020	December 31, 2019	December 31, 2019
		$ 27,251 10.2~11.5 years		$ 27,842 10.7~11.6 years

24. Equity

a. Capital stock

Common stock

ty Capital stock Common stock
Number of shares authorized (in thousands) Share capital authorized Number of shares issued and fully paid (in thousands) Share capital issued		December 31, 2020 500,000 $ 5,000,000 236,202 $ 2,362,025	December 31, 2019
				500,000 $ 5,000,000 236,202 $ 2,362,025

b. Capital surplus

Capital surplus
May be used to offset deficits, appropriated as cash dividends or transferred to capital (1) Premium on conversion of corporate bonds Treasury share transactions Donations Disposal of the Company's shares by subsidiaries recognized as treasury share transactions May only be used to offset deficits Recognized value of changes in equity of ownership of subsidiaries (2) Dividends that are not collected before the designated date Cash dividends received from the Company for shares of the Company held by subsidiaries May not be used for any purpose Employees stock option		December 31, 2020 $ 1,002,501 3,333 938 54,838 7,913 7,948 824,081 40,247 $ 1,941,799	December 31, 2019
				$ 1,049,742 3,333 938 54,838 7,913 7,948 755,751 40,247 $ 1,920,710

1) This type of capital surplus may be used to cover loss or issue cash or replenish capital when there is no loss, but capital replenishment is restricted to the ratio of actual capital stock each year.
2) This type of capital surplus recognized as equity transaction effect due to changes in subsidiary equity, when the Company's has not acquired or disposed of subsidiary shares, or as adjustment value of capital surplus from subsidiary recognized by the Company using the equity method.
c.
Retained earnings and dividend policy

If the Company has a net profit for the current year, it shall first use the profit to pay income taxes and make up for any accumulated losses, and then set aside 10% as a legal capital reserve. Any excessive balance may be reserved or transferred to be a special reserve pursuant to relevant laws. Any remaining balance in retained earnings may be appropriated for dividends in accordance with a proposal for appropriation of earnings as approved by the Board of Directors and submit it to the shareholders' meeting for distribution of shareholder dividends. Please refer to Note XXVI (VI) for the employee compensation policy.

The legal reserve may be used to make up for losses. When the Company has no loss, the portion of the legal reserve exceeding 25% of the total paid-in capital may be appropriated in the form of cash, in addition to being transferred to share capital.

The Company appropriates or reserves special reserve in accordance with the Official Letter No. 1010012865 and Official Letter No. 1010047490 issued by the FSC and the

directive titled "Questions and Answers for Special Reserves Appropriated Following Adoption of IFRSs."

As the industry into which the Company falls is currently in a stage of steady growth, demand for capital has lowered. In the future, operating results will be returned to shareholders as many as possible. In consideration of business development, financial conditions, capital expansion, and shareholders' equity, the Company will distribute dividends in a combination of stock and cash, where cash dividends will account for more than 10% of the dividends distributed for the year.

The shareholders' meetings which approved the distribution of earnings for years ended December 31, 2019 and 2018 were held on June 10, 2020 and June 12, 2019, respectively; the distributions of earnings are as follows:

Legal reserve Cash dividends	Distribution	of Earnings 2018 $ 152,300 1,417,215	Dividends Per Share (NT$)	Dividends Per Share (NT$)
	2019 $ 134,244 1,369,975		2019 $ 5.80	2018
				$ 6.00

In addition, the 2020 Annual Shareholders' Meeting approved the distribution of cash dividends (NT$0.2 per share) from capital surplus - stock issuance premium of NT$47,241 thousand.

On March 16, 2021, the Board of Directors proposed the distribution of earnings for the year ended December 31, 2020 as follows:

Legal reserve Cash dividends	Distribution of Earnings $ 148,431 1,346,355	Dividends Per Share (NT$)
		$ 5.70

In addition, the Board of Directors meeting, held on March 16, 2021, proposed distributing cash dividends (NT$0.3 per share) from capital surplus - stock issuance premium of NT$70,861 thousand.

The distribution of earnings for the year ended December 31, 2020 is subject to the resolution in the shareholders' meeting on June 17, 2021.

d. Special reserve arising from first-time application of IFRSs

Special reserve	December 31, 2020 $ 331,624	December 31, 2019	December 31, 2019
			$ 331,624

The amount recorded as cumulative translation adjustments transferred to retained earnings was NT$452,517 thousand. As the increase in retained earnings arising from first-time application of IFRSs was insufficient, special reserve was only set aside for the increase in retained earnings arising from application, NT$331,624 thousand.

Where relevant assets are subsequently used, disposed of or reclassified, the original proportion of special reserve may be reversed for the distribution of earnings. Special reserve that should be set aside upon first-time application of IFRSs may be used to make up losses in subsequent years. Special reserve should be set aside for the deficit until there is a profit in subsequent years and the reasons for the provision of special reserve are resolved.

e. Other equity items

		December 31, 2020	December 31, 2020	December 31, 2019	December 31, 2019
Exchange differences on
	translation of financial
	statements of foreign
	operations
Attributable to the Group		(	$ 562,792 )	( $ 696,364 )
Associates accounted for using
	the equity method	(	51,841)	(	61,708)
		(	614,633)	(	758,072)
Unrealized Gains (Losses) on
Financial Assets at Fair Value
through Other Comprehensive
Income
Attributable to the Group			-	(	149,385 )
Associates accounted for using
	the equity method		643,330		654,522
			643,330		505,137
			$ 28,697	($ 252,935)
1)	Exchange differences on translation of financial statements of foreign operations
	Exchange differences on translation of foreign operations' net assets denominated in
	functional currencies into the Group's presentation currency				(NTD) are directly
	recognized in other comprehensive		income as exchange differences on translation of
	financial statements of foreign operations. The cumulative exchange differences on
	translation of financial statements		of foreign operations are reclassified to profit or
	loss upon disposal of foreign operations.
			2020		2019
	Beginning balance	( $	758,072 )	( $ 477,204 )
	Incurred this year
	Exchange differences
	on translation of
	foreign operations		133,572	(	271,658 )
	Share of associates
	accounted for using
	the equity method		9,867	(	21,780)
			143,439	(	293,438)
	Reclassifications
	Disposal of foreign
	operations		-		57
	Share of disposal of
	joint ventures
	accounted for using
	the equity method		-		12,513
	Other comprehensive
	income		-		12,570
	Ending balance	($	614,633)	($ 758,072)

Exchange differences on translation of foreign operations' net assets denominated in functional currencies into the Group's presentation currency (NTD) are directly recognized in other comprehensive income as exchange differences on translation of financial statements of foreign operations. The cumulative exchange differences on translation of financial statements of foreign operations are reclassified to profit or loss upon disposal of foreign operations.

2) Unrealized gains (losses) on financial assets at fair value through other comprehensive income

comprehensive income
Beginning balance Incurred this year Unrealized gains (losses) Equity instruments Share of associates accounted for using the equity method Other comprehensive income Accumulated gains (losses) on disposal of equity instruments transferred to retained earnings Ending balance f. Treasury shares Shares of the Company held by subsidiaries		2020 $ 505,137 211,553 3,969) 207,584 69,391) $ 643,330 December 31, 2020 $ 791,826	2019
	( (		$ 600,997 ( 29,357 ) ( 66,305) ( 95,662) ( 198) $ 505,137 December 31, 2019
				$ 791,826

1) Information on subsidiaries holding the Company's shares on the balance sheet date is as follows:

is as follows:
Aurora Office Automation Corporation		December 31, 2020
	The Company's Shareholding (%)	Number of Shares (in Thousands)	Amount of Treasury Shares $ 791,826	Current Market Value	Reason
	91.13	12,496		$1,110,965	To maintain credit and shareholders' equity

Aurora Office Automation Corporation		December 31, 2019	December 31, 2019	December 31, 2019
	The Company's Shareholding (%)	Number of Shares (in Thousands)	Amount of Treasury Shares $ 791,826	Current Market Value	Reason
	91.13	12,496		$1,125,961	To maintain credit and shareholders' equity

2) Treasury shares held by the Company may be neither pledged nor assigned rights such as dividend appropriation and voting rights in accordance with the Securities and Exchange Act. Subsidiaries holding the Company's shares, which are considered treasury shares, are bestowed shareholders’ rights, except for the rights to participate in any share issuance for cash and to vote.

25. Revenue

a. Breakdown of revenue from contracts with customers

b.	Product category MFPs System furniture Others Region Asia America Europe Others Contract balance Contract assets Contract liabilities		2020 $ 8,345,118 4,529,672 76,184 $ 12,950,974 $ 11,468,330 1,439,649 39,484 3,511 $ 12,950,974 December 31, 2020 $ 19,590 $ 467,117		2019	2019
					$ 8,514,288 5,017,557 73,268 $ 13,605,113 $ 12,308,472 1,252,339 38,819 5,483 $ 13,605,113 January 1, 2019

						$ - $ 459,544

Changes in contract assets and liabilities are mainly due to timing difference between performance obligations and customer payment.

The Group adopts the simplified approach as stipulated in IFRS 9 and recognizes loss allowances for contract assets based on the lifetime expected credit losses. For the lifetime expected credit losses, taking into account the customers' past default history and current financial position, there were no past due contract assets as of December 31, 2020, and the Group assessed that no provision for expected credit losses is required.

The amounts of contract liabilities at the beginning of the period and previously fulfilled that were recognized in revenue for the years ended December 31, 2020 and 2019 were NT$442,476 thousand and NT$443,106 thousand, respectively.

26. Net Income

a. Other income

ncome Other income
Income from consultancy Rental income Subsidy income Other income		2020 $ 56,331 31,293 21,976 17,487 $ 127,087		2019
				$ 54,077 30,131 25,999 35,871 $ 146,078

Income from consultancy represents the fees received by the Group from related parties for rendering consulting services.

b. Other gains and losses

Other gains and losses
Gains on financial assets Financial assets mandatorily measured at fair value through profit or loss Gain on disposal of investment property Gains on lease modifications Gains on bargain purchase - acquisition of subsidiaries Loss on disposal of investments Loss on disposal of property, plant, and equipment Net foreign exchange losses Others Finance costs Bank overdrafts and interest on bank loans Interest expenses - leases Imputed interest on deposits	2020 $ 156,023 8,653 204 - - ( 5,184 ) ( 20,592 ) ( 14,250) $ 124,854 2020 $ 38,444 18,993 34 $ 57,471		2019
		( ( ( (	$ 180,944 - - 5,241 11,348 ) 2,863 ) 2,101 ) 16,002) $ 153,871 2019
			$ 39,598 25,477 54 $ 65,129

c. Finance costs

d. Depreciation and amortization expenses

Property, Plant, and Equipment Right-of-use assets Investment properties Intangible Assets Depreciation expenses by function Operating costs Operating expenses Non-operating income and expenses Amortization expenses by function Operating costs Operating expenses		2020 $ 425,930 411,665 5,361 16,940 $ 859,896 $ 258,435 579,160 5,361 $ 842,956 $ 1,944 14,996 $ 16,940		2019
				$ 414,422 317,553 5,387 14,835 $ 752,197 $ 246,331 485,643 5,388 $ 737,362 $ 3,459 11,376 $ 14,835

e. Employee benefits

Employee benefits
Short-term employee benefits Retirement benefits Defined contribution plans Defined benefit plans (Note XXIII) By function Operating costs Operating expenses		2020 $ 2,350,377 109,458 9,368 $ 2,469,203 $ 291,301 2,177,902 $ 2,469,203		2019
				$ 2,510,053 202,195 7,463 $ 2,719,711 $ 192,116 2,527,595 $ 2,719,711

f. Employee compensation

The Company sets aside 1%~10% of income before tax for a year as employee compensation. Employee compensation for the years ended December 31, 2020 and 2019 was resolved by the Board of directors on March 16, 2021 and March 23, 2020, respectively:

Estimated percentage

respectively: Estimated percentage
Employee compensation Amount Employee compensation	2020 1% 2020 $ 16,750	2019
		1% 2019
		$ 16,350

If there is still any change in the amount after the annual consolidated financial statements are authorized for issue, the differences shall be treated as a change in accounting estimates in the following year.

The amounts of employee compensation distributed for the years ended December 31, 2019 and 2018 and those recognized in the consolidated financial statements are consistent.

Information on employee compensation resolved by the Board of Directors is available on the "Market Observation Post System" of the Taiwan Stock Exchange Corporation.

27. Income Tax

a. Income tax recognized in profit or loss

Major components of income tax expenses (benefits) are as follows:

Current income tax Accrued this year Adjustments from previous years Deferred income tax Accrued this year Income tax expense recognized in profit or loss		2020 $ 360,940 9,415) 351,525 115,168 $ 466,693		2019
	(			$ 306,812 5,027 311,839 119,145 $ 430,984

Reconciliation between accounting income and current income tax expenses is as follows:

			2020			2019
Net income before tax		$	2,025,428		$	1,932,740
Income tax expenses calculated
at the statutory rate (20%)		$	405,085		$	386,548
Unrecognized deductible
temporary difference			94,579			116,925
Effects of different tax rates of
subsidiaries in other
jurisdictions			52,562			48,179
Fees that cannot be deducted
from taxes			21,612			11,585
Deferred tax of subsidiary
earnings	(		14,532 )	(		11,720 )
Tax-exempted income	(		88,297 )	(		115,972 )
Land value increment tax		$	273		$	-
Unrecognized loss
carryforwards			6,089			4,676
Realized investment losses			-	(		14,632 )
Others	(		1,263 )			368
Adjustments of current income
tax expenses in previous
years	(		9,415)			5,027
Income tax expense recognized
in profit or loss		$	466,693		$	430,984

The tax rate applicable to subsidiaries in mainland China is 15%~25%. Tax arising from other jurisdictions is calculated at the rates applicable in the respective jurisdictions.

b. Income tax recognized in other comprehensive income

Deferred income tax Accrued this year - remeasurements of defined benefit plans		2020 $ 5,617		2019
				$ 7,357

c. Current income tax liabilities

Current income tax liabilities
Current income tax assets Tax refunds receivable Current income tax liabilities Income tax payable	December 31, 2020		December 31, 2019
		$ 49,332 $ 194,294		$ 457 $ 94,628

d. Deferred income tax assets and liabilities

Changes in deferred income tax assets and liabilities are as follows:

2020

2020
Deferred income tax assets	Beginning balance	Recognized in profit or loss	Recognized in other comprehensive income	Exchange Differences	Ending balance
	$ 21,196 9,929 6,251 25,141 2,466 24,435 $ 937 3,216 32,820 43,285 $ 169,676	( $ 754 ) ( 400 ) 1,541 ( 1,658 ) ( 46 ) ( 7,079 ) $ - - 10,803 - $ 2,407	$ - - - - - - $ - - - 5,617 $ 5,617	$ - 148 118 304 - - $ - 53 791 - $ 1,414	$ 20,442 9,677 7,910 23,787 2,420 17,356 $ 937 3,269 44,414 48,902 $ 179,114
Temporary differences Deferred revenue Unrealized impairment loss of assets Loss allowances Loss on inventory write-down Holiday benefits payable Book-tax difference in pensions Impairment loss Litigation compensatio ns Other financial liabilities Defined benefit plans

(Continued on the next page)

(Continued from the previous page)

Deferred income tax liabilities		Beginning balance		Recognized in profit or loss		Recognized in other comprehensive income		Exchange Differences	Ending balance	Ending balance
		$ 140,885 - $ 140,885		$ 117,544 31 $ 117,575		$ - - $ -		$ - - $ -		$ 258,429 31 $ 258,460
Temporary differences Share of profit or loss of subsidiaries accounted for using the equity method Unrealized exchange gains 2019

2019
Deferred income tax assets	Beginning balance	Effects of Consolidated Entities	Recognized in profit or loss	Recognized in other comprehensive income	Exchange Differences	Ending balance
	$ 21,974 10,923 7,692 29,445 3,967 28,746 254 937 3,341 - 35,928 $ 143,207	$ - 259 ( 471 ) 828 - - - - - 8 - $ 624	( $ 778 ) ( 883 ) ( 778 ) ( 4,314 ) ( 1,501 ) ( 4,311 ) ( 254 ) - - 34,060 - $ 21,241	$ - - - - - - - - - - 7,357 $ 7,357	$ - ( 370 ) ( 192 ) ( 818 ) - - - - ( 125 ) ( 1,248 ) - ($ 2,753)	$ 21,196 9,929 6,251 25,141 2,466 24,435 - 937 3,216 32,820 43,285 $ 169,676
Temporary differences Deferred revenu e Unrealized impairment loss of assets Loss allowances Loss on inventory write-down Holiday benefits payable Book-tax difference in pensions Straight-line rent payable Impairment loss Litigation compensatio ns Other financial liabilities Defined benefit plans

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Deferred income tax liabilities		Beginning balance		Effects of Consolidated Entities	Recognized in profit or loss		Recognized in other comprehensive income		Exchange Differences		Ending balance
		$ 357 142 - $ 499		$ - - - $ -	( $ 357 ) ( 142 ) 140,885 $ 140,386		$ - - - $ -		$ - - - $ -		$ - - 140,885 $ 140,885
Temporary differences Unrealized exchange gains Straight-line rent receivable Share of profit or loss of subsidiaries accounted for using the equity method

e. Amount of temporary differences in unrecognized deferred income tax liabilities related to investments

As of December 31, 2020 and 2019, the taxable temporary differences related to investments in subsidiaries and associates not recognized as deferred income tax liabilities were NT$807,554 thousand and NT$788,478 thousand, respectively.

f. Income tax assessment

In the corporate income tax return of the Company and its subsidiaries, the difference assessed by the Tax Authorities has been recognized as income tax expenses. Income tax assessment is as follows:

ent is as follows:
The Company Aurora Office Automation KM Developing General Integration Ever Young Biodimension Aurora (China) Investment and its subsidiaries	Year of Assessment
	2018 2018 2018 2018 2018 2018

There were no significant differences between the assessed results and the reported results of the Group’s corporate income tax return.

28. Earnings per Share

Net income and weighted average number of common shares used for calculation of earnings per share are as follows:

Net income

per share are as follows: Net income
Net income attributable to the Company Shares Weighted average number of common shares used for calculation of basic earnings per share Effect of potentially dilutive common shares: Employee compensation Weighted average number of common shares used for calculation of diluted earnings per share	2020			2019
	$ 1,438,309 2020		$ 1,374,792 Unit: Thousand shares

					2019
		224,814 236 225,050			224,814 219 225,033

If the Group chooses to offer employee compensation or share profits in the form of cash or stock, while calculating diluted earnings per share, and assuming that the compensation is paid in the form of stock, the dilutive potential common shares will be included in the weighted average number of outstanding shares to calculate diluted earnings per share. The dilutive effect of such potential common shares shall continue to be considered when calculating diluted earnings per share before the number of shares to be distributed as employee compensation is approved in the following year.

29. Business Combinations

a. Acquisition of subsidiaries

Aurora Home Furniture Co., Ltd.	Main Business Activities	Date of Acquisition	Ownership Interest with Voting Right/Acquisition Percentage (%)	Transfer Price	Transfer Price
	Production and sales of furniture	July 2019	50%		$ 152,554

b. Assets acquired and liabilities assumed upon acquisition date

Assets acquired and liabilities assumed upon acquisition date
Current Assets Cash and cash equivalents Accounts receivable Other receivables Inventories Other current assets Non-current assets Property, plant, and equipment Deferred income tax assets Current Liabilities Accounts payable Other payables	Aurora Home Furniture Co., Ltd.
	$ 233,253 131,587 4,086 29,012 18,173 8,666 624 ( 90,160 ) (19,651) $ 315,590

c. Gains on bargain purchase of 50% of Aurora Home's shares

Gains on bargain purchase of 50% of Aurora Home's shares
Transfer Price Less: fair value of identifiable assets acquired Gains on bargain purchase arising from acquisition	Aurora Home Furniture Co., Ltd.
	( (	$ 152,554 157,795) $ 5,241)

d. Net cash flows generated from acquisition of subsidiary - Aurora Home Furniture Co., Ltd.

Ltd.
Consideration paid in cash Less: balance of cash and cash equivalents acquired	Aurora Home Furniture Co., Ltd.
	( (	$ 152,554 233,253) $ 80,699)

e.

Effect of business combinations on operating results

The operating results of the acquired companies from the acquisition date are as follows:

Aurora Home Furniture Co., Ltd. Operating revenue Net income	Aurora Home Furniture Co., Ltd.	Aurora Home Furniture Co., Ltd.
		$ 251,614 $ 14,913

If the business combination takes place on the beginning date of the fiscal year of acquisition, the pro forma operating revenue and pro forma net income of Aurora Home Furniture Co., Ltd. in 2019 were NT$482,235 thousand and NT$21,697 thousand respectively. When such amounts cannot reflect whether the business combination had been completed at the beginning of the fiscal year in the year of acquisition, the actual revenue and business performance that could arise for the Group cannot be used toward predicting future operating results.

30. Non-cash Transactions

The acquisition of property, plant, and equipment by the Group during the years ended December 31, 2020 and 2019 that affected both cash and non-cash items is as follows:

Inventories transferred to property, plant, and equipment Property, plant, and equipment transferred to inventories		2020		2019
		$ 182,855 $ 24,198		$ 316,222 $ 18,742

31. Capital Risk Management

The Group manages capital management under the precondition for sustainable development to ensure that it is able to maximize the benefit for its shareholders by optimizing debt and equity.

The management reviews the capital structure of the Group from time to time in light of the economic environment and business considerations. According to the management's opinions and statutory requirements, the Group balances the overall capital structure through the payment of dividends, issuance of shares, and financing.

32. Financial Instruments

a. Information on fair value - financial instruments not measured at fair value

The management of the Group considers that the carrying amounts of financial assets and financial liabilities not measured at fair value are close to their fair value.

b. Information on fair value - financial instruments measured at fair value on a recurring basis
1) Fair value level

December 31, 2020

Level 1 Level 2 Level 3 Total Financial assets at fair value through profit or loss Fund beneficiary certificates $ 77,420 $ - $ - $ 77,420

December 31, 2019

Level 1 Level 2 Level 3 Total Financial assets at fair value through profit or loss Fund beneficiary certificates $ 65,122 $ - $ - $ 65,122 Wealth management - - products 93,398 93,398 Total $ 65,122 $ 93,398 $ - $ 158,520 Financial assets at fair value through other comprehensiv e income Investments in equity instruments - Domestically listed stocks $ 107,823 $ - $ - $ 107,823

In 2020 and 2019, there was no transfer between Level 1 and Level 2 fair value measurement.

2) Valuation techniques and inputs of Level 2 fair value measurement

Category of Financial Instruments Valuation Technique and Inputs Wealth management Discounted cash flow method: Future cash flows are products estimated based on end-of-period interest rates and contractual rates of return, discounted at a rate that reflects the credit risk of various counterparties.

c. Category of financial instruments

December 31, 2020 December 31, 2019

Financial assets Measured at fair value through profit or loss Mandatorily measured at fair value through profit or loss $ 77,420 $ 158,520 Measured at amortized cost (Note 1) 9,235,468 8,625,738 Financial assets at fair value through other comprehensive income - Investments in equity instruments - 107,823

Financial liabilities Measured at amortized cost (Note 2) 6,311,964 6,106,310

Note 1: The balance includes cash and cash equivalents, notes receivable and accounts receivable (including related parties), other receivables, financial assets at amortized cost, refundable deposits, and other financial assets at amortized cost.
Note 2: The balance includes short-term loans, short-term bills payable, accounts payable (including related parties), other payables (excluding employee benefits payable and business tax payable), long-term loans, guarantee deposits received, and other financial liabilities at amortized cost.
d. Financial risk management objectives and policies

The main financial instruments of the Group include equity investments, accounts receivable, accounts payable, loans, and lease liabilities. The financial management department of the Group provides services to the business units, including coordinating operations in the domestic and international financial markets and managing financial risks relating to the operations of the Group based on the degree and breadth of risk. Such risks include market risk (including foreign exchange risk, interest rate risk, and other price risk), credit risk, and liquidity risk.

1) Market risk

The main financial risks the Group is exposed to in the business activities are foreign exchange risk, interest rate risk, and other price risk.

Market risk in relation to the Group's financial instruments and its management and measurement approaches remain unchanged.

a) Foreign exchange risk

For the monetary assets and liabilities of the Group denominated in non-functional currencies on the balance sheet date (including those written off in the consolidated financial statements), please refer to Note XXXVII.

Sensitivity analysis

The Group is mainly impacted by the exchange rate fluctuations in USD.

The sensitivity analysis below indicates the amount of decrease/increase in net income before tax arising from foreign exchange losses/gains on net monetary

assets and liabilities when the New Taiwan dollar (functional currency) against each foreign currency appreciated by 3% for the years ended December 31, 2020 and 2019. When the New Taiwan dollar depreciated, its impact on net income before tax was the reverse equivalent amount. A sensitivity rate of 3% is used internally when foreign exchange risk is reported to the management. It also represents the management's assessment on the reasonably possible scope of foreign exchange rates.

of foreign exchange rates.
Profit or loss	Impact of USD
	2020 $ 1,203	2019
		$ 2,326

The impact of profit or loss was mainly attributable to the demand deposits, accounts payable, and loans for material purchasing denominated in USD that were still outstanding and not hedged in cash flows on the balance sheet date. The Group's sensitivity to the exchange rate of USD decreased in the current period due to the decrease in the net liability denominated in USD held by the Group.

b) Interest rate risk

The carrying amounts of financial assets and financial liabilities of the Group exposed to interest rate risk on the balance sheet date are as follows:

Fair value interest rate risk `－`Financial assets `－`Financial liabilities Cash flow interest rate risk `－`Financial assets `－`Financial liabilities	December 31, 2020 $ - 656,728 7,323,772 1,340,000	December 31, 2019
		$ 93,398 711,299 7,102,395 1,480,000

Sensitivity analysis

The sensitivity analysis below is prepared based on the risk exposure of non-derivative instruments to the interest rates at balance sheet date. The rate of change adopted is 25 basis points increase/decrease in the interest rate, which also represents the management's assessment on the reasonably possible scope of the interest rate.

If the interest rate increased or decreased by 25 basis points, the Group's net income before tax in 2020 and 2019 would have decreased or increased by NT$14,959 thousand and NT$14,056 thousand, respectively, with all other variables remaining constant. This is mainly attributable to the exposure to the risks of interest rates of the Group's deposits, financial assets at amortized cost, other financial assets, and long-term loans.

c) Other price risk

The Group is exposed to equity price risk through its investments in monetary funds, listed stocks, and wealth management products.

Sensitivity analysis

The sensitivity analysis below is carried out based on the exposure to equity price risk on the balance sheet date.

If the monetary fund price increased/decreased by 5%, income before tax in 2020 and 2019 would have increased/decreased by NT$3,871 thousand and NT$7,926 thousand, respectively, due to a change in the fair value of financial assets at fair value through profit or loss.

If the equity price increased/decreased by 5%, other comprehensive income before tax in 2019 would have increased/decreased by NT$5,391 thousand due to a change in the fair value of financial assets at fair value through other comprehensive income.

2) Credit risk

Credit risk refers to risk that causes the financial loss of the Group due to a counterparty's delay in performing contractual obligations. As of the balance sheet date, the Group's largest credit risk exposure from a counterparty's failure to fulfill obligations came from the carrying amount of financial assets recognized in the consolidated balance sheets.

The Group uses publicly obtainable financial information and past transaction records to grade main customers while monitoring its credit risk exposure and credit ratings of the counterparties.

The Group’s credit risk is concentrated on the top 10 customers, accounting for 29% and 24% of the total accounts receivable as of December 31, 2020 and 2019, respectively.

3) Liquidity risk

The Group supports the operations and reduces the impact of fluctuating cash flows by managing and maintaining sufficient cash and cash equivalents. The management of the Group supervises the use of the credit line and ensures compliance with the terms of the loan contracts.

The following tables detail the Group’s remaining contractual maturity for its non-derivative financial liabilities with agreed repayment periods. The tables had been drawn up based on the undiscounted cash flows of financial liabilities from the earliest date on which the Group can be required to repay.

December 31, 2020

December 31, 2020	20
Weighted Average Effective Rate (%) Non-derivative financial liabilities Zero-interest-bearing liabilities Lease liabilities Variable-rate instruments 0.91% Instruments with fixed interest rates 0.75% December 31, 2019 Weighted Average Effective Rate (%) Non-derivative financial liabilities Zero-interest-bearing liabilities Lease liabilities Variable-rate instruments 0.90% Instruments with fixed interest rates 0.85% Line of credit Unsecured banking facilities `－`Amount utilized `－`Amount not utilized Secured banking facilities `－`Amount utilized `－`Amount not utilized	Weighted Average Effective Rate (%)	Payment on Sight or within 1 Month		1~3 Month(s)	3~12 Months		1~5 Year(s)	Over 5 Years
		$ 479,378 33,370 - 2,300,961 $2,813,709 Payment on Sight or within 1 Month		$1,097,159 62,104 - 615,651 $1,774,914 1~3 Month(s)	$ 374,918 239,280 - 24,659 $ 638,857 3~12 Months		$ 72,120 218,309 1,340,000 - $1,630,429 1~5 Year(s)	$ 7,118 126,795 - - $ 133,913 Over 5 Years
									$ 7,329 132,485 - - $ 139,814 2019

			$ 3,533,881 5,335,665 $ 8,869,546 $ 820,000 600,000 $ 1,420,000			$ 3,260,708 6,043,044 $ 9,303,752 $ 1,189,996 350,004 $ 1,540,000

33. Related Party Transactions

All transactions between the Company and its subsidiaries (related parties of the Company), account balances, income, and expenses are eliminated upon consolidation and therefore are not shown in the note. In addition to those disclosed in other notes, the transactions between the Group and other related parties are as follows.

a. Names and relations of related parties

Related Party Relationship with the Group Aurora Holdings Incorporated (Aurora Holdings) Investor of significant influence Aurora Telecom Co., Ltd. (Aurora Telecom) Associate Huxen Corporation (Huxen) Associate Aurora Development Corp. (Aurora Development) Associate Aurora Leasing Corporation (Aurora Leasing) Associate Huxen (China) Co., Ltd. (Huxen (China)) Associate Aurora Home Furniture Co., Ltd. (Aurora Home) (Note) Joint venture Aurora Holdings (Shanghai) Inc. (Aurora Holdings (Shanghai)) Other related party Shanghai Jiading New Partnership Rural Community Cooperative (formerly Shanghai Jianbang Asset Management Co., Ltd.)(Shanghai Jiading) Other related party Aurora Museum Other related party Aurora Building Management (Shanghai) Co., Ltd. (Aurora Building Management) Other related party Y. T. Chen Sustainable Management Foundation (formerly Aurora Sustainable Management Foundation)(Y. T. Chen Foundation) Other related party

Note: Originally as a joint venture of the Company, Aurora Home Furniture Co., Ltd. became a subsidiary after the Group acquired another 50% of its equity interest in July 2019.

b. Operating revenue

in July 2019. Operating revenue
Type/Name of Related Party Huxen (China) Associate Other related party Investor of significant influence Joint venture		2020 $ 1,755,455 602,491 2,715 245 - $ 2,360,906		2019
				$ 1,975,334 601,299 8,731 157 371 $ 2,585,892

Sales by the Group to related parties are made based on the market price, with payments collected within 1~4 month(s).

c.

Purchase of goods

collected within 1~4 month(s). Purchase of goods
Type/Name of Related Party Associate Joint venture		2020 $ 346,637 - $ 346,637		2019
				$ 431,909 191,610 $ 623,519

Purchases from related parties are made by the Group based on the market price, with payments made in cash within 1~3 month(s).

d. Other income

Other income
Type/Name of Related Party Huxen Aurora Leasing Associate Other related party Investor of significant influence		2020		2019
		$ 32,326 32,205 574 12 - $ 65,117		$ 32,132 31,337 - - 38 $ 63,507

Other income mainly represents income from consulting services rendered to related parties by the Group.

e.

Operating expenses

parties by the Group. Operating expenses
Other related party Associate Investor of significant influence		2020 $ 37,218 5,504 3,901 $ 46,623		2019
				$ 50,720 21,733 2,235 $ 74,688

Operating expenses represent expenses paid to related parties for advertising and marketing.

f. Rental income

Rental income

marketing. Rental income Rental income
Type/Name of Related Party Other related party Associate Joint venture		2020 $ 3,931 72 - $ 4,003		2019
				$ 3,546 72 6,940 $ 10,558

The rental of office buildings leased by the Group to related parties is charged on a monthly basis according to general market conditions.

g. Receivables from related parties

Accounting Subject Accounts receivable	Type/Name of Related Party	December 31, 2020	December 31, 2020	December 31, 2019	December 31, 2019
	Aurora Leasing Other related party Associate Investor of significant influence		$ 102,331 41 316 - $ 102,688		$ 104,077 503 540 7 $ 105,127

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Accounting Subject Other receivables	Type/Name of Related Party	December 31, 2020	December 31, 2020	December 31, 2019	December 31, 2019
	Huxen (China) Huxen Aurora Leasing Associate		$ 4,157 3,593 1,667 512 $ 9,929		$ 15,449 3,278 1,649 366 $ 20,742

Other receivables represent receivables and purchase allowances arising from advance payments between the Group and related parties.

The outstanding amount of receivables from related parties is not collateralized. No loss allowances were set aside for receivables from related parties for the years ended December 31, 2020 and 2019.

h. Payables to related parties

Accounting Subject Accounts payable Other payables	Type/Name of Related Party	December 31, 2020	December 31, 2020	December 31, 2019	December 31, 2019
	Aurora Leasing Associate Huxen (China) Other related party Aurora Holdings (Shanghai) Aurora Leasing Associate Investor of significant influence		$ 1,622 159 94 80 - $ 1,955 $ 64,955 67 12 $ 65,034		$ 2,992 - 6,376 236 3,165 $ 12,769 $ 70,356 1 - $ 70,357

Other payables are monthly payments of rental collected from lessees by the Group on behalf of Aurora Leasing.

i. Acquisition of property, plant, and equipment

Type/Name of Related Party		Price	Price
		2020 $ 154		2019
Associate				$ 454

The transaction prices are determined according to market conditions.

j. Lease agreements

Lease agreements
Type/Name of Related Party Acquisition of right-of-use assets Aurora Holdings Associate Aurora Holdings (Shanghai) Shanghai Jiading		2020 $ 46,275 4,080 - - $ 50,355		2019
				$ - 663 274,135 184,825 $ 459,623

Accounting Subject Type/Name of Related Party December 31, 2020 Lease liabilities Shanghai Jiading $168,229 Aurora Holdings (Shanghai) 106,982 Aurora Holdings 43,932 Associate 27,180 $ 346,323 December 31, 2020 Interest expenses Aurora Holdings (Shanghai) $ 6,757 Shanghai Jiading 1,320 Associate 256 Investor of significant influence 229 $ 8,562	Type/Name of Related Party	December 31, 2020	December 31, 2020	December 31, 2019	December 31, 2019
				$ 186,254 193,267 20,213 37,607 $ 437,341 December 31, 2019
					$ 9,880 1,429 344 256 $ 11,909

The Group leased land and offices to related parties for the years ended December 31, 2020 and 2019, respectively, with the lease terms of 1 to 23 years; the rent is payable on a monthly basis and the terms are not materially different from those of the general clients.

k. Others

Others
Accounting Subject Refundable deposits Guarantee deposits received	Type/Name of Related Party	December 31, 2020		December 31, 2019
	Aurora Holdings (Shanghai) Investor of significant influence Associate Aurora Building Management (Shanghai) Y. T. Chen Foundation		$ 27,633 3,945 3,839 7,054 $ 42,471 $ 660		$ 27,178 3,690 3,818 6,938 $ 41,624 $ 590

l. Remuneration to the management

Remuneration to the management
Short-term employee benefits Retirement benefits		2020 $ 109,679 1,354 $ 111,033		2019
				$ 92,733 997 $ 93,730

The remuneration to directors and the management is determined by the Remuneration Committee based on personal performances and market trends.

34. Pledged Assets

The following assets of the Group have been provided for financial institutions as collateral for loans:

Pledged Assets The following assets of the Group have loans:	been provided for financial	institutions as collateral for	institutions as collateral for
Demand deposits (recognized in other financial assets) Investment properties Property, Plant, and Equipment	December 31, 2020 $ 60,665 300,955 271,245 $ 632,865	December 31, 2019
			$ 35,459 302,912 275,250 $ 613,621

35. Significant Contingent Liabilities and Unrecognized Contract Commitments

a. Unused letters of credit outstanding as of December 31, 2020 amounted to US$1,844 thousand.
b. Guarantee notes issued by the Group to financial institutions for short-term and long-term loans as of December 31, 2020 amounted to NT$9,120,600 thousand.
c. Guaranteed notes issued by the Group under warranty contracts or for business needs as of December 31, 2020 amounted to NT$27,869 thousand.
d. Guaranteed notes received by the Group for business operations as of December 31, 2020 totaled NT$5,083 thousand.
e. Performance bonds issued by banks for the Group as of December 31, 2020 amounted to NT$19,640 thousand.
f. Aurora Office Equipment Co., Ltd. Shanghai and Shanghai Jianbang Asset Management Co., Ltd. (Shanghai Jianbang) entered into the "Cooperation Agreement," where Shanghai Jianbang provides land use rights for 50 years. According to Article 24 of the Cooperation Agreement, Aurora Office Equipment Co., Ltd. Shanghai shall pay Shanghai Jianbang a fixed land profit every year. Starting from 2012, RMB6,000 thousand/acre shall be paid per year based on the actual area used (282 acres). The fixed profit per acre of land shall be adjusted upwards by 5% based on the profit payable before adjustment every 5 years, but the maximum shall not exceed RMB7,500 thousand/acre per year.
g. Unrecognized contractual commitments of the subsidiaries for purchases of goods as of December 31, 2020 amounted to NT$21,425 thousand.

h. Significant contracts of the Company and its subsidiaries are disclosed as follows:

Type of Contract	Contracting Party	Contract Duration	Contract Content	Restrictions
Distribution	Sharp Corporation	2021.4.1~2022.3.31	Sharp	1Exclusive
contract	Aurora Corporation	(automatic extension for 1 year upon expiration)	photocopiers	. distribution 2. Non-compete
OEM	(1) Konica Minolta , Inc	2019.1.1~2023.12.31	Production and	None
contract	(2) Konica Minolta		procurement of
	Business Solutions (China) Co Ltd		MFPs and PP rinters in
	., . (3) Aurora Office		p mainland China
	Automation Sales Co., Ltd. Shanghai
OEM contract	(1) Aurora Office Automation Sales Co., Ltd. Shanghai (2) Zhuhai Pantum Electronics Co., Ltd.	2020.1.1~2021.12.31	Production and procurement of A4 printer	None
Distribution	(1) Stratasys AP Limited	2021.1.1~2021.12.31	Stratasys 3D	Non-compete
contract	(2) Aurora Machinery		printers
	Equipment (Shanghai) Co., Ltd.
Distribution	Konica Minolta, Inc.	2021.4.1~2022.03.31	KM photocopiers	1. Non-compete
contract	Aurora Office Automation Corporation		and printers	2. Sales in Taiwan only
Distribution	Stratasys Ap Ltd.	2021.1.1~2021.12.31	SSYS 3D printers	1. Non-exclusive
contract	General Integration			distribution
	Technology Co., Ltd.			2. Non-compete 3. Sales in Taiwan only
Distribution contract	Creaform Inc. General Integration Technology Co., Ltd.	2020.6.21~2021.6.20	3D scanners	1. Non-exclusive distribution 2. Sales in Taiwan only
Distribution	Konica Minolta, Inc.	2021.4.1~2022.03.31	Large	1. Annual sales
contract	KM Developing		photocopiers	amount
	Solutions Co., Ltd.		and multi-functional	2. Non-compete 3Sales in
			photocopiers	. Taiwan only

36. Significant Events after the Balance Sheet Date: None.

37. Information on Foreign Currency-denominated Assets and Liabilities of Significant Influence

The following summary is presented in foreign currencies other than the functional currency. The exchange rate disclosed in the summary refers to the exchange rate of a foreign currency to the functional currency. The significant impact on assets and liabilities recognized in foreign currencies is as follows:

Unit: Foreign currency/NT$ thousand

December 31, 2020

December 31, 2020
Foreign currency assets	Foreign Currency	Exchange Rate 6.5249 (USD:RMB) 28.43 (USD:RMB) 4.377 (RMB:NTD) 28.53 (USD:NTD) 6.5249 (USD:RMB) Exchange Rate 6.9762 (USD:RMB) 4.305 (RMB:NTD) 30.03 (USD:NTD) 6.9762 (USD:RMB)	Carrying amount
	$ 4,059 125 $ 146,677 2,402 246 Foreign Currency		$ 26,487 3,557 $ 642,007 68,535 1,605 Carrying amount
Monetary items USD USD Non-monetary items Associates accounted for using the equity method RMB Foreign currency liabilities Monetary items USD USD December 31, 2019 Foreign currency assets Monetary items USD Non-monetary items Associates accounted for using the equity method RMB Foreign currency liabilities Monetary items USD USD
	$ 3,997 141,412 315 13,754		$ 27,886 608,777 9,462 95,951

Realized and unrealized foreign exchange gains and losses that have significant impact on the Group are recognized in other gains and losses; please refer to Note XXVI (II).

38. Supplementary Disclosures

a. Information on significant transactions:
1) Loans provided for others: None.
2) Endorsements/guarantees provided for others: Table 1.
3) Securities held at end of period (excluding investments in subsidiaries, associates, and joint ventures): Table 2.
4) Accumulated purchase or sale of the same securities amounting to NT$300 million or 20% of paid-in capital or more: Table 3.
5) Acquisition of property amounting to NT$300 million or 20% of paid-in capital or more: Table 4.
6) Disposal of property amounting to NT$300 million or 20% of paid-in capital or more: None.
7) Purchases or sales with related parties amounting to NT$100 million or 20% of paid-up capital or more: Table 5.
8) Receivables from related parties amounting to NT$100 million or 20% of paid-up capital or more: None.
9) Derivatives transactions: None.
10) Intercompany relationships and significant intercompany transactions: Table 6.
b. Information on invested companies: Table 7.
c. Information on investments in mainland China:
1) Information on any investee company in mainland China (name, main business activities, paid-in capital, method of investment, inward and outward remittance of funds, ownership percentage, investment income, carrying amount of investment at end of period, repatriations of investment income, and limit on the amount of investment in mainland China): Table 8.
2) Major transactions with any investee company in mainland China directly or indirectly through a third region, and their prices, payment terms, unrealized gains (losses), and other information: Table 9.
d. Information on major shareholders (names of shareholders with a shareholding ratio of 5% or more as well as number and proportion of shares held): Table 10.

39. Segment Information

Information is provided for the chief business decision makers to allocate resources and to evaluate the performance of segments by company. The reportable segments of the Group are based in Taiwan and mainland China and mainly engage in the sales of office automation products, computer and communication equipment, and furniture.

The income and results of the Group's operations and segment assets are analyzed as follows:

Item Revenue from external customers Intersegment revenue Total revenue Segment profit or loss Segment assets			2020	2020	2020
		Taiwan $ 4,307,934 111,786 $ 4,419,721 $ 1,858,699 $13,985,256	Mainland China $ 8,643,040 68,026 $ 8,711,065 $ 1,013,911 $11,150,650		Offset of Intersegment Revenue and Profit or Loss $ 179,812) $ 179,812) $ 847,182) $ 7,072,997)		Total
				( ( ( (			$12,950,974 - $12,950,974 $ 2,025,428 $18,062,909

Item Revenue from external customers Intersegment revenue Total revenue Segment profit or loss Segment assets			2019	2019	2019
		Taiwan $ 4,278,956 143,662 $ 4,422,618 $ 1,796,000 $12,808,265	Mainland China $ 9,326,157 41,870 $ 9,368,027 $ 940,264 $10,430,412		Offset of Intersegment Revenue and Profit or Loss $ - 185,532) $ 185,532) $ 803,524) $ 6,128,901)		Total
				( ( ( (			$13,605,113 - $13,605,113 $ 1,932,740 $17,109,776

TABLE 1

Aurora Corporation and Subsidiaries

Endorsements/Guarantees Provided for Others For the Year Ended December 31, 2020

(In Thousands of New Taiwan Dollars, Unless Stated Otherwise)

No. (Note 1)	Endorser/Guarantor	Endorsee/Guarantee	Endorsee/Guarantee	Limit on Endorsements/ Guarantees Provided for Single Entity (Note 3)	Maximum Endorsement/ Guarantee Balance	Ending Balance	Actual Amount Drawn	Amount of Endorsements/ Guarantees Collateralized by Property	Ratio of Accumulated Endorsements/ Guarantees to Net Worth per Latest Financial Statements (%)	Endorsement/G uarantee Ceiling (Note 3)	Endorsements/ Guarantees Provided by Parent for Subsidiary (Note 4)	Endorsements/ Guarantees Provided by Subsidiary for Parent (Note 4)	Endorsements/ Guarantees Provided for Subsidiary in Mainland China (Note 4)	Remark
		Name of Company	Relationship (Note 2)
1	Aurora (China) Co., Ltd.	Aurora Office Automation Sales Co., Ltd. Shanghai	2	$ 3,172,464	$ 17,576	$ -	$ -	$ -	-	$ 3,172,464	N	N	Y

Note 1: The numbers filled are described as follows:

(1) For the issuer, fill in 0.
(2) The investee company is numbered sequentially starting from Arabic number 1 according to the company type.

Note 2: The relationships between endorsers/guarantors and endorsees/guarantees are categorized into the following 6 types. Please specify the type.

(1) Companies with which the Company conducts business.
(2) Subsidiaries in which the Group directly holds more than 50% of their common shares.
(3) Investee companies in which the Company and its subsidiaries collectively hold more than 50% of their common shares.
(4) The parent company which holds, directly or indirectly through a subsidiary, more than 50% of its outstanding common shares.
(5) Companies in same type of business and providing mutual endorsements/guarantees in favor of each other in accordance with the contractual obligations in order to fulfill the needs of the construction project.
(6) Shareholders making endorsements/guarantees for their mutually invested company in proportion to their shareholding ratio.
Note 3: According to the Company's regulations for making of endorsements/guarantees, the aggregate amount of endorsements/guarantees provided shall not exceed the current net worth, and endorsements/guarantees provided for a single entity shall not exceed NT$3,172,464 thousand.

Note 4: Fill in Y if a listed parent company provides endorsements/guarantees for its subsidiary or if a subsidiary provides endorsements/guarantees for its listed parent company or if endorsements/guarantees involve mainland China.

TABLE 2

Aurora Corporation and Subsidiaries

Securities Held at End of Period December 31, 2020 (In Thousands of New Taiwan Dollars)

Securities Holding Company	Type and Name of Securities	Relationship with Issuer of Securities	Ledger Account		EndingBalance	EndingBalance		Remark
				Number of Shares (in Thousand Shares or Thousand Units)	Carrying amount	Shareholding (%)	Fair Value (Note 1)
Aurora Office Automation Corporation KM Developing Solutions Co., Ltd. Aurora (China) Co., Ltd. Aurora Office Automation Sales Co., Ltd. Shanghai Aurora Office Equipment Co., Ltd. Shanghai Aurora (Bermuda) Investment Ltd.	Stock Aurora Corporation Aurora Corporation Fund Hua Nan Kirin Money Market Fund China Merchants Bank - large certificates of deposits Bank SinoPac - large certificates of deposits Bank of China - large certificates of deposits Industrial Bank - large certificates of deposits Cathay United Bank - large certificates of deposits Bank of Communications - large certificates of deposits Bank of China - large certificates of deposits Taishin International Bank - time deposits	The Company The Company None None None None None None None None None	Financial assets at fair value through other comprehensive income - current Financial assets at fair value through other comprehensive income - non-current Financial assets at fair value through profit or loss - current Financial assets at amortized cost - current Financial assets at amortized cost - current Financial assets at amortized cost - current Financial assets at amortized cost - current Financial assets at amortized cost - current Financial assets at amortized cost - current Financial assets at amortized cost - current Financial assets at amortized cost-current	3,290 9,206 6,435 - - - - - - - -	$ 292,516 818,449 77,420 438,005 219,623 135,124 703,919 140,419 135,122 90,081 11,033	1.39 3.90 - - - - - - - - -	$ 292,516 818,449 77,420 438,005 219,623 135,124 703,919 140,419 135,122 90,081 11,033	Notes 1 and 2 Notes 1 and 2 Note 1

Note 1: Market prices of stocks with open market prices refer to the closing prices as of December 31, 2020. Market prices of open-end funds refer to the net asset value of the funds on the balance sheet date. The fair value of wealth management products is valuated at discounted cash flows. Note 2: The Company's shares held by subsidiaries are treated as treasury shares.

Note 3: For information on investments in subsidiaries, associates, and joint ventures, please refer to Tables 6 and 7.

TABLE 3

Aurora Corporation and Subsidiaries

Accumulated Purchase or Sale of the Same Securities Amounting to NT$300 Million or 20% of Paid-in Capital or More For the Year Ended December 31, 2020 Unit: NT$ thousand or thousand shares (unless stated otherwise)

Company Name	Type and Name of Securities	Ledger Account	Counterparty	Relationship	Transaction Currency	Beginning of Period	Beginning of Period	Reclassification	Reclassification	Purchase	Purchase		Sale	Sale		Increase/Decrease	Increase/Decrease	Ending	Balance
						Number of Shares (in Thousand Shares or Thousand Units)	Amount	Number of Shares (in Thousand Shares or Thousand Units)	Amount	Number of Shares (in Thousand Shares or Thousand Units)	Amount	Number of Shares (in Thousand Shares or Thousand Units)	Selling Price	Carrying Cost	Gains (Losses) on Disposal	Number of Shares (in Thousand Shares or Thousand Units)	Amount	Number of Shares	Amount
Aurora Office Equipment Co., Ltd. Shanghai Aurora (China) Co., Ltd.	Structured deposits Structured deposits "Lingdong 75 Days" "Liduoduo Structured Deposits" Structured deposits Structured deposits Structured deposits "Caifubanchejinqu No. 3" Structured deposits Maturity of structured deposits "Lingdong 75 Days"	Financial assets at fair value through profit or loss - current Financial assets at fair value through profit or loss - current Financial assets at fair value through profit or loss - current Financial assets at fair value through profit or loss - current Financial assets at fair value through profit or loss - current Financial assets at fair value through profit or loss - current Financial assets at fair value through profit or loss - current Financial assets at fair value through profit or loss - current Financial assets at fair value through profit or loss - current Financial assets at fair value through profit or loss - current Financial assets at fair value through profit or loss-current	Bank of China China Minsheng Bank Agricultural Bank of China Shanghai Pudong Developm ent Bank Bank of China Bank Sinopac Bank Sinopac Shanghai Pudong Developm ent Bank Bank Sinopac Bank Sinopac Agricultural Bank of China	None None None None None None None None None None None	RMB RMB RMB RMB RMB RMB RMB RMB RMB RMB RMB	- - - - - - - - - - -	$ - - - - - - - - - - -	- - - - - - - - - - -	$ - - - - - - - - - - -	- - - - - - - - - - -	$100,000 160,000 115,000 200,000 100,000 200,000 100,000 150,000 110,000 110,000 100,000	- - - - - - - - - - -	$100,844 161,411 115,765 201,764 100,834 201,521 100,902 151,387 110,912 110,820 100,659	$100,000 160,000 115,000 200,000 100,000 200,000 100,000 150,000 110,000 110,000 100,000	$ 844 1,411 765 1,764 834 1,521 902 1,387 912 820 659	- - - - - - - - - - -	$ - - - - - - - - - - -	- - - - - - - - - - -	$ - - - - - - - - - - -

Company Name	Type and Name of Securities	Ledger Account	Counterparty	Relationship	Transaction Currency	Beginning of Period	Beginning of Period	Reclassification	Reclassification	Purchase	Purchase		Sale	Sale		Increase/Decrease	Increase/Decrease	Ending	Balance
						Number of Shares (in Thousand Shares or Thousand Units)	Amount	Number of Shares (in Thousand Shares or Thousand Units)	Amount	Number of Shares (in Thousand Shares or Thousand Units)	Amount	Number of Shares (in Thousand Shares or Thousand Units)	Selling Price	Carrying Cost	Gains (Losses) on Disposal	Number of Shares (in Thousand Shares or Thousand Units)	Amount	Number of Shares	Amount
Aurora (China) Co., Ltd. Aurora Office Automation Sales Co., Ltd. Shanghai Aurora (Jiang Su) Enterprise Developme nt Co., Ltd.	"Lingdong 75 Days" Structured deposits Structured deposits Structured deposits "Bank of China - Zhifu" "Jinxueqiu Select" "Bubugaosheng" Structured deposits Structured deposits Structured deposits Structured deposits	Financial assets at fair value through profit or loss - current Financial assets at fair value through profit or loss - current Financial assets at fair value through profit or loss - current Financial assets at fair value through profit or loss - current Financial assets at fair value through profit or loss - current Financial assets at fair value through profit or loss - current Financial assets at fair value through profit or loss - current Financial assets at fair value through profit or loss - current Financial assets at fair value through profit or loss - current Financial assets at fair value through profit or loss - current Financial assets at fair value through profit or loss-current	Agricultural Bank of China China Minsheng Bank Industrial Bank Industrial Bank Bank of China Industrial Bank Shanghai Pudong Developm ent Bank Industrial Bank Bank of Nanjing Bank of Nanjing Bank of Nanjing	None None None None None None None None None None None	RMB RMB RMB RMB RMB RMB RMB RMB RMB RMB RMB	- - - - - - - - - - -	- - - - - - - - - - -	- - - - - - - - - - -	- - - - - - - - - - -	- - - - - - - - - - -	80,000 130,000 150,000 90,000 90,000 100,000 90,000 150,000 150,000 160,000 115,000	- - - - - - - - - - -	80,537 131,128 151,269 90,768 90,763 100,878 90,547 150,942 151,390 161,440 115,792	80,000 130,000 150,000 90,000 90,000 100,000 90,000 150,000 150,000 160,000 115,000	537 1,128 1,269 768 763 878 547 942 1,390 1,440 792	- - - - - - - - - - -	- - - - - - - - - - -	- - - - - - - - - - -	- - - - - - - - - - -

TABLE 4

Aurora Corporation and Subsidiaries

Acquisition of Real Estate Amounting to NT$300 Million or 20% of the Paid-in Capital or More For the Year Ended December 31, 2020

(In Thousands of New Taiwan Dollars)

Acquirer of Real Estate	Name of Property	Date of Occurrence	Amount of Transaction	Status of Payment	Counterparty	Relationship	Information	on Prior Transaction If the Counterparty Is Related	on Prior Transaction If the Counterparty Is Related	on Prior Transaction If the Counterparty Is Related	Basis or Reference for Price Setting	Purpose of Acquisition and Usage Status	Other Agreed Items
							Owner	Relationship with the Issuer	Date of Transfer	Amount
Aurora (Jiang Su) Enterprise Development Co., Ltd.	Construction in Process	2020	$ 101,552 (RMB)	$ 101,552 (RMB)	Shanghai Construction Design Research Institute Co., Ltd.	None	-	-	-	$ -	N/A	Building a smart factory for furniture; Under construction	None

TABLE 5

Aurora Corporation and Subsidiaries

Purchases or Sales with Related Parties Amounting to NT$100 Million or 20% of Paid-up Capital or More For the Year Ended December 31, 2020 (In Thousands of New Taiwan Dollars)

Company	Counterparty	Relationship		Transaction Situation	Transaction Situation		Unusual Transaction Terms and Reasons	Unusual Transaction Terms and Reasons	Notes and Accounts Receivable (Payable)	Notes and Accounts Receivable (Payable)	Remark
			Purchases (Sales)	Amount	Percentage of Total Purchases (Sales) (%)	Credit Period	Unit price	Credit Period	Balance	Percentage of Notes and Accounts Receivable (Payable) (%) (Note)
Aurora Corporation Aurora Office Automation Corporation Aurora Office Automation Sales Co., Ltd. Shanghai Aurora (China) Co., Ltd.	Aurora Leasing Corporation Aurora (China) Co., Ltd. Aurora Leasing Corporation Huxen (China) Co., Ltd. Huxen (China) Co., Ltd. Aurora Home Furniture Co., Ltd.	Huxen's subsidiary (associate) The Company's subsidiary Huxen's subsidiary (associate) Huxen's subsidiary (associate) Huxen's subsidiary (associate) The Company's subsidiary	Sales Sales Sales Sales Purchases Purchases	( $ 369,851 ) ( 109,472 ) ( 211,536 ) ( 1,755,455 ) 279,272 365,375	( 12% ) ( 3% ) ( 25% ) ( 51% ) 17% 20%	Due within 60 days Due within 60 days Due within 60 days Due within 120 days Due within 120 days Due within 60 days	According to market conditions, no material difference According to market conditions, no material difference According to market conditions, no material difference According to market conditions, no material difference According to market conditions, no material difference According to market conditions, no material difference	Due within 60 days Due within 60 days Due within 60 days Due within 120 days Due within 120 days Due within 60 days	$ 63,262 8,640 39,069 - ( 33 ) ( 73,258 )	20% 3% 36% - - ( 15% )

Note: The above percentage is calculated as the ratio of the balance of notes and accounts receivable (payable) with related parties to the balance of total notes and accounts receivable (payable).

TABLE 6

Aurora Corporation and Subsidiaries

Intercompany Relationships and Significant Intercompany Transactions For the Year Ended December 31, 2020 (In Thousands of New Taiwan Dollars)

No. (Note 1)	Company	Counterparty	Relationship (Note 2)		Description	of Transactions
				Ledger Account	Amount (Note 3)	Transaction Terms (Note 4)	Percentage of Consolidated Total Revenue or Total Assets (%) (Note 5)
0	Aurora Corporation	Aurora Office Automation Aurora Office Equipment Co., Ltd. Shanghai Aurora (China) Aurora Office Automation Sales Co., Ltd. General Integration KM Developing Aurora Home Ever Young Biodimension	1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1	Sales revenue Service revenue Other income Gains on lease modifications Depreciation - leases Operating expenses Interest expenses Accounts receivable Other receivables Expenses payable Temporary credits Purchases Sales revenue Purchases Accounts receivable Sales revenue Sales revenue Service revenue Operating expenses Purchases Accounts receivable Other receivables Accounts payable Advances from Customers Sales revenue Service revenue Rental income Other receivables Purchases Sales revenue	$ 8,133 5,290 21,207 23 3,695 1,400 28 348 2,243 54 19 30,461 109,472 14,539 8,640 780 558 621 16 103 1 93 1 39 348 1,200 72 105 1,432 18	- - - - - - - - - - - - - - - - - - - - - - - - - - - - - -	- - - - - - - - - - - - 1 - - - - - - - - - - - - - - - - -

(Continued on the next page)

(Continued from the previous page)

No. (Note 1)	Company	Counterparty	Relationship (Note 2)		Description	of Transactions
				Ledger Account	Amount (Note 3)	Transaction Terms (Note 4)	Percentage of Consolidated Total Revenue or Total Assets (%) (Note 5)
1 2 3 4	Aurora Office Automation General Integration Aurora (China) Aurora Office Automation Sales Co., Ltd.	General Integration KM Developing Ever Young Biodimension Aurora Machinery Equipment Aurora Machinery Equipment Aurora Home Furniture Co., Ltd. Aurora Office Automation Sales Co., Ltd. Aurora Cloud Aurora Office Equipment Co., Ltd. Shanghai Aurora Machinery Equipment Aurora Cloud Aurora Office Equipment Co., Ltd. Shanghai	3 3 3 3 3 3 3 3 3 3 3 3 3 3 3 3 3 3 3 3 3 3 3 3 3 3 3 3 3 3 3 3 3 3 3	Purchases Accounts payable Sales revenue Purchases Operating expenses Accounts receivable Sales revenue Service revenue Accounts receivable Sales revenue Purchases Accounts receivable Other income Sales revenue Purchases Accounts receivable Accounts payable Other income Operating expenses Other income Accounts payable Purchases Operating expenses Other income Other gains and losses Accounts payable Purchases Other income Other receivables Accounts payable Purchases Operating expenses Accounts payable Operating expenses Accounts payable	$ 46 5 12,732 4,125 124 3,313 3,770 496 1,113 1,534 1,193 614 1,434 3,662 365,375 1,380 73,258 1,541 6,773 484 82 56,254 14,114 273 4,448 3,687 20,394 3,314 746 18,818 10,025 8,553 1,605 152 31	- - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - -	- - - - - - - - - - - - - - 3 - 1 - - - - - - - - - - - - - - - - - -

(Continued on the next page)

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No. (Note 1)	Company	Counterparty	Relationship (Note 2)		Description	of Transactions
				Ledger Account	Amount (Note 3)	Transaction Terms (Note 4)	Percentage of Consolidated Total Revenue or Total Assets (%) (Note 5)
5 6	Aurora Home Furniture Co., Ltd. Aurora Office Equipment Co., Ltd. Shanghai	Aurora Cloud Aurora Home Furniture Co., Ltd. Aurora Cloud	3 3 3 3 3 3 3 3 3 3	Sales revenue Operating expenses Accounts payable Sales revenue Other income Accounts receivable Other receivables Purchases Operating expenses Accounts payable	$ 18 16 18 515 17,139 97 594 4,742 211 200	- - - - - - - - - -	- - - - - - - - - -

Note 1: The information on business dealings between the parent company and subsidiaries should be numbered according to the following method:

For the parent company, fill in 0.
Subsidiaries are sorted in a numerical order starting from 1.

Note 2: Relationships with counterparties can be any one of the following three types:

The parent company to subsidiaries.
Subsidiaries to the parent company.
Subsidiaries to subsidiaries.

Note 3: When the Consolidated Financial Statements are prepared, the amounts have been offset in a consolidated manner.

Note 4: There is no material difference between the terms of the sales transactions between the parent company and subsidiaries and the normal sales of goods. The terms of other transactions are based on the agreement between both parties. Note 5: The percentage is rounded to the nearest whole number.

TABLE 7

Aurora Corporation and Subsidiaries

Information on Investee Companies For the Year Ended December 31, 2020 (In Thousands of New Taiwan Dollars)

Name of Investor	Name of Investee	Location	Main Business Activities	Initial Investment Amount	Initial Investment Amount	Ending Balance	Ending Balance	Ending Balance	Profit (Loss) of Investee for the Period	Investment Profit (Loss) Recognized	Distribution of Dividends by Investee	Distribution of Dividends by Investee	Remark
				Ending Balance for the Current Period	Ending Balance for the Previous Period	Number of Shares	Shareholding (%)	Carrying amount			Stock Dividends	Cash dividends
Aurora Corporation Aurora Office Automation Corporation General Integration Technology Co., Ltd.	Aurora (Bermuda) Investment Ltd. Aurora Office Automation Corporation General Integration Technology Co., Ltd. KM Developing Solutions Co., Ltd. Ever Young Biodimension Corporation Huxen Corporation Aurora Development Corp. Aurora Telecom Co., Ltd. Huxen Corporation Ever Young Biodimension Corporation	Bermuda Taiwan Taiwan Taiwan Taiwan Taiwan Taiwan Taiwan Taiwan Taiwan	Investment holding Import/export and wholesale of MFPs Manufacturing of molds and machinery and wholesale of precision instruments Wholesale and retail of information software, computers, and office equipment Wholesale of precision instruments Agency of MFPs and communications products Development of land and office buildings Sales of mobile phones and accessories and internet access Agency of MFPs and communications products Wholesale of precision instruments	$ 2,177,439 2,091,992 112,500 70,000 8,580 826,645 140,000 191,833 359,451 8,250	$ 2,177,439 2,091,992 112,500 70,000 8,580 826,645 140,000 191,833 359,451 8,250	67,350 82,278 5,465 7,000 858 47,011 32,498 13,165 11,170 825	88.04 91.13 55.00 70.00 26.00 32.53 46.67 30.40 7.73 25.00	$ 7,063,743 1,076,067 129,128 104,947 4,284 1,427,127 496,580 233,504 536,723 4,123	$ 827,356 279,885 ( 702 ) 32,174 ( 6,777 ) 568,211 49,233 ( 74,310 ) 568,211 ( 6,777 )	$ 803,422 187,333 ( 388 ) 22,521 ( 1,766 ) 184,839 22,977 ( 22,591 ) 43,923 ( 1,694 )	$ - - - - - - - - - -	$ - 287,971 3,279 18,200 - 178,640 3,250 - 42,446 -	Subsidiary Subsidiary Subsidiary Subsidiary Subsidiary Investee accounted for using the equity method Investee accounted for using the equity method Investee accounted for using the equity method Investee of Aurora Office Automation accounted for using the equity method Investee of General Integration accounted for using the equity method

TABLE 8

Aurora Corporation and Subsidiaries

Information on Investments in Mainland China For the Year Ended December 31, 2020 Unit: NT$ thousand, US$ thousand, and RMB thousand unless specified otherwise

Investee Company	Main Business Activities	Paid-in Capital	Method of Investments	Accumulated Amount of Investments Remitted from Taiwan at Beginning of Period	Amount of Investments Remitted or Repatriated for the Period	Amount of Investments Remitted or Repatriated for the Period	Accumulated Amount of Investments Remitted from Taiwan at End of Period	Profit (Loss) of Investee for the Period	The Company's Direct or Indirect Ownership (%)	Investment Profit (Loss) Recognized for the Period (Note 2)	Carrying Amount of Investments at End of Period	Accumulated Investment Income Repatriated at End of Period
					Remitted	Repatriated
Aurora (China) Investment Co., Ltd. Aurora Office Equipment Co., Ltd. Shanghai Aurora (China) Co., Ltd. Aurora Office Automation Sales Co., Ltd. Shanghai Aurora (Shanghai) Cloud Technology Co., Ltd. Huxen (China) Co., Ltd. Chongqing Gonggangzhihui Additive Manufacturing Technology Research Institute Co., Ltd. Aurora Home Furniture Co., Ltd. Aurora Machinery Equipment (Shanghai) Co., Ltd. Aurora (Jiang Su) Enterprise Development Co., Ltd. Aurora (Shanghai) Electronic Commerce Co., Ltd.	Investment holding Production and sales of MFPs Manufacturing and sale of office furniture Sales, lease, and agency of Aurora brand products Sale of printing and office equipment and furniture and consulting service Sales, maintenance, and lease of printers Sales, lease, and maintenance of 3D printers Production and sales of furniture Wholesale of mechanical and electronic equipment, internet communication equipment, and computer software and hardware Reinvestment and property lease Sales on e-commerce platforms	$ 2,569,980 (US$76,500) 1,121,340 (US$33,000) 1,007,266 (US$30,000) 1,603,064 (RMB$350,000) 47,110 (RMB10,000) 1,922,054 (RMB$400,000) 114,700 (RMB$25,000) 243,020 (RMB$50,000) 112,549 (RMB$25,000) 888,500 (RMB$200,000) 20,955 (RMB$5,000)	Note 1 (2) Note 1 (2) Note 1 (2) Note 1 (2) Note 1 (3) Note 1 (1) Note 1 (3) Note 1 (2) Note 1 (1) Note 1 (2) Note 1 (2)	$ 2,177,439 (US$67,350) Note 3 Note 3 Note 3 Note 3 583,044 (RMB$120,000) Note 3 Note 3 112,549 (RMB$25,000) Note 3 Note 3	$ - - - - - - - - - - -	$ - - - - - - - - - - -	$ 2,177,439 (US$67,350) Note 3 Note 3 Note 3 Note 3 583,044 (RMB$120,000) Note 3 Note 3 112,549 (RMB$25,000) Note 3 Note 3	$ 825,957 61,060 748,166 369,797 ( 1,610 ) 75,148 ( 10,240 ) 20,418 ( 23,720 ) 16,427 ( 2,839 )	88.04 88.04 88.04 88.04 61.63 27.34 17.61 88.04 86.50 88.04 61.63	$ 727,173 Note 2 (2) 53,757 Note 2 (2) 658,685 Note 2 (2) 325,569 Note 2 (2) ( 992 ) Note 2 (2) 22,545 Note 2 (2) ( 2,048 ) Note 2 (2) 17,976 Note 2 (2) ( 20,518 ) Note 2 (2) 14,462 Note 2 (2) ( 1,750 ) Note 2 (2)	$ 8,302,723 1,208,363 5,832,606 2,722,481 932 642,007 13,189 322,086 41,076 892,834 9,975	$ - - - - - - - - - - -

Accumulated Amount of Investments Remitted from Taiwan to Mainland China at End of Period (Note 4)	Amount of Investments Authorized by Investment Commission, M.O.E.A. (Note 4)	Ceiling on Amount of Investments Stipulated by Investment Commission, M.O.E.A. (Note 5)
$ 2,873,032 (US$ 67,350, RMB$ 145,000)	$ 2,881,734 (US$ 67,350, RMB$ 145,000)	$5,354,488

Note 1: Methods of investments are divided into the following three types. Specify the type.

Direct investment in mainland China.
Investment in mainland China through Aurora (Bermuda) Investment Ltd.
Others.

Note 2: Investment profit (loss) recognized for the period:

Indicate if no investment profit (loss) is recognized as an investee is under preparation.
Indicate if investment profit (loss) is recognized on the following basis:
(1) Financial statements audited by international accounting firms cooperating with accounting firms in the Republic of China.
(2) Financial statements audited by the parent company's CPAs in Taiwan. (3) Others.

Note 3: The Company invested in Aurora (China) Investment Co., Ltd. directly through Aurora (Bermuda) Investment Ltd. (with 88.04% equity held by the Company) established in Bermuda. Aurora (China) Investment Co., Ltd. then invested in Aurora (Jiang Su) Enterprise Development Co., Ltd., Aurora Office Equipment Co., Ltd. Shanghai, and Aurora (China) Co., Ltd. Then, Aurora (China) Co., Ltd. invested in Aurora Office Automation Sales Co., Ltd. Shanghai, Aurora Home Furniture Co., Ltd., Aurora (Shanghai) Cloud Technology Co., Ltd., and Aurora (Shanghai) Electronic Commerce Co., Ltd. Then, Aurora Office Automation Sales Co., Ltd. Shanghai invested in Chongqing Gonggangzhihui Additive Manufacturing Technology Research Institute Co., Ltd.

Note 4: Based on the prevailing exchange rate approved by the Investment Commission, Ministry of Economic Affairs, the accumulated amount of investments remitted from Taiwan to mainland China in the foreign currency at the end of the period did not exceed the amount of investments in the foreign currency approved by the Investment Commission.
Note 5: The net worth of the Group as of December 31, 2020 was NT$8,924,147 thousand. In accordance with the "Directions Governing the Examination of Investment or Technical Cooperation in Mainland China," the cap amount should be NT$5,354,488 thousand (NT$8,924,147 thousand x 60%).

TABLE 9

Aurora Corporation and Subsidiaries

Major Transactions with Any Investee Company in mainland China Directly or Indirectly through a Third Region, and Their Prices, Payment terms, Unrealized Gains (Losses), and Other Information For the Year Ended December 31, 2020

(In Thousands of New Taiwan Dollars)

Investee Company	Relationship with the Company	Type of Transaction	Amount		Transaction Term		Notes and Accounts Receivable (Payable)	Notes and Accounts Receivable (Payable)	Unrealized gains (losses)	Remark
				Price	Payment Terms	Difference with General Transactions	Balance	Percentage (%) (Note)
Aurora Office Automation Sales Co., Ltd. Shanghai Aurora (China) Co., Ltd.	The Company's sub-subsidiary The Company's sub-subsidiary	Sales Purchases Purchases	( $ 1,755,455 ) 279,272 365,375	According to market conditions `〃` `〃`	Due within 120 days Due within 120 days Due within 60 days	No material difference `〃` `〃`	$ - ( 34 ) ( 73,258 )	- - ( 15% )	$ - - -

Note: The above percentage is calculated as the ratio of the balance of notes and accounts receivable (payable) with related parties to the balance of total notes and accounts receivable (payable).

TABLE 10

Aurora Corporation

Information on Major Shareholders December 31, 2020

Name of Major Shareholders	Shareholding	Shareholding
	Shares	Percentage of Ownership (%)
Aurora Holdings Incorporated Chen Yung-Tai Aurora Leasing Corporation Aurora Office Automation Corporation	101,856,312 21,269,000 20,791,276 12,496,797	43.12 9.00 8.80 5.29

Note 1: The major shareholders in this table are shareholders holding more than 5% of the common and preference shares that have completed delivery without physical registration (including treasury shares) on the last business day of each quarter calculated by the Taiwan Depository & Clearing Corporation. Share capital indicated in the Company's consolidated financial statements may differ from the actual number of shares that have been issued and delivered without physical registration as a result of different basis of preparation.
Note 2: If a shareholder delivers its shareholding information to the trust, the aforesaid information shall be disclosed by the individual trustee who opened the trust account. Please refer to MOPS for information on shareholders who declare themselves to be insiders holding more than 10% of shares in accordance with the Securities and Exchange Act, and their shareholdings including their shareholdings plus their delivery of trust and shares with the right to make decisions on trust property.

AI assistant

Aurora — Annual Report 2020

52038_rns_2020-11-13_5b34ba46-4e35-44c7-952d-88d81e568a6e.pdf

Table of Contents

Declaration of Consolidated Financial Statements of Affiliates

Independent Auditors' Report

Opinions

Basis for Opinions

Key Audit Matters

Sales revenue

Other Matters

Responsibilities of Management and Those Charged with Governance for the Consolidated Financial Statements

Auditors' Responsibilities for the Audit of the Consolidated Financial Statements

Notices to Readers

Aurora Corporation and Subsidiaries

Consolidated Statements of Comprehensive Income For the Years Ended December 31, 2020 and 2019 (In Thousands of New Taiwan Dollars, Except Earnings Per Share)

(Continued from the previous page)

(Continued from the previous page)

Aurora Corporation and Subsidiaries

Consolidated Statements of Changes in Equity For the Years Ended December 31, 2020 and 2019 (In Thousands of New Taiwan Dollars)

Aurora Corporation and Subsidiaries

Consolidated Statements of Cash Flows For the Years Ended December 31, 2020 and 2019 (In Thousands of New Taiwan Dollars)

(Continued from the previous page)

Aurora Corporation and Subsidiaries

Notes to Consolidated Financial Statements For the Years Ended December 31, 2020 and 2019

(Amount in Thousands of New Taiwan Dollars, Unless Specified Otherwise)

1. Company History

2. Date of Authorization for Issuance of the Parent Company Only Financial Statements and Procedures for Authorization

3. Application of New and Amended Standards and Interpretations

4. Summary of Significant Accounting Policies

e. Business combinations

f. Foreign currencies

g. Inventories

h. Investments in associates and joint ventures

Intangible assets

2) Derecognition

c) Derecognition of financial assets

2) Financial liabilities

a) Subsequent measurement

o.

Revenue recognition

1) Sales revenue of commodities

p.

Leases

q.

Benefits after retirement

Income tax

5. Primary Sources of Uncertainties in Material Accounting Judgments, Estimates, and Assumptions

6. Cash and Cash Equivalents

7. Financial Instruments at Fair Value through Profit or Loss

8. Financial Assets at Fair Value through Other Comprehensive Income - Current

9. Financial Assets at Amortized Cost - Current

10. Other Financial Assets - Non-current

11. Notes Receivables, Accounts Receivables, and Other Receivables

a. Accounts receivable

December 31, 2020

b. Other receivables

12. Inventories

13. Subsidiaries

(Continued from the previous page)

(Continued from the previous page)

14. Investments Accounted for Using the Equity Method

b. Investments in joint ventures

15. Property, Plant, and Equipment

a. For self-use

b. Operating leases - office equipment

16. Lease Agreements

a. Right-of-use assets

b. Lease liabilities

c. Major lease activities and terms

d. Other lease information

17. Investment Property

18. Intangible Assets

a. Goodwill

b. Other intangible assets

19. Other Assets

20. Loans

December 31, 2020

21. Accounts Payable

22. Other Liabilities

Aurora Annual Report 2020