G.V. - Audit Report / Information 2021

Global View Co., Ltd.

Financial Statements for the Years Ended December 31, 2021 and 2020 and Independent Auditors’ Report

INDEPENDENT AUDITORS’ REPORT

The Board of Directors and Shareholders Global View Co., Ltd.

Opinion

We have audited the accompanying financial statements of Global View Co., Ltd. (the “Company”), which comprise the balance sheets as of December 31, 2021 and 2020, and the statements of comprehensive income, changes in equity and cash flows for the years then ended, and the notes to the financial statements, including a summary of significant accounting policies (collectively referred to as the “financial statements”).

In our opinion, the accompanying financial statements present fairly, in all material respects, the financial position of the Company as of December 31, 2021 and 2020, and its financial performance and its cash flows for the years then ended, in accordance with the Regulations Governing the Preparation of Financial Reports by Securities Issuers.

Basis for Opinion

We conducted our audits in accordance with the Regulations Governing Auditing and Attestation of Financial Statements by Certified Public Accountants and auditing standards generally accepted in the Republic of China. Our responsibilities under those standards are further described in the Auditors’ Responsibilities for the Audit of the Financial Statements section of our report. We are independent of the Company in accordance with The Norm of Professional Ethics for Certified Public Accountant of the Republic of China, and we have fulfilled our other ethical responsibilities in accordance with these requirements. 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 financial statements for the year ended December 31, 2021. These matters were addressed in the context of our audit of the financial statements as a whole, and in forming our opinion thereon, we do not provide a separate opinion on these matters.

Key audit matter of the financial statements for the year ended December 31, 2021 is stated as follows:

- Subsidiary accounted for using the equity method Recognition of rental revenue

A subsidiary accounted for using the equity method is a lessor of investment properties and leasing is its main business; rentals are collected in advance and recorded as unearned revenue prior to the lessees’ use of the property. Due to the large number of lessees and different lease periods, and manual calculation and recording of rental revenue, there may be a risk of incorrect revenue recognition. Since the accuracy of the recognition of the rental revenue is substantial to the financial statements, it is deemed to be a key audit matter.

We obtained an understanding of the design of internal controls for rental revenue and tested the implementation of the controls. We reviewed the lease agreements and sent confirmation letters to the lessees, on a sample basis, to verify the correctness of the lease periods and rental amounts in the calculation schedule used by the management to recognize the rental revenue. We checked the accuracy of the recognized rental revenue, and evaluated the rationality of the overall rental revenue through analytical procedures.

Responsibilities of Management and those Charged with Governance for the Financial Statements

Management is responsible for the preparation and fair presentation of the financial statements in accordance with the Regulations Governing the Preparation of Financial Reports by Securities Issuers, and for such internal control as management determines is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error.

In preparing the financial statements, management is responsible for assessing the Company’s ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless management either intends to liquidate the Company or to cease operations, or has no realistic alternative but to do so.

Those charged with governance (including members of the audit committee) are responsible for overseeing the Company’s financial reporting process.

Auditors’ Responsibilities for the Audit of the Financial Statements

Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, 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 assess the risks of material misstatement of the financial statements, whether due to fraud or error, design and perform audit procedures responsive to those risks, and obtain audit evidence that is sufficient and appropriate to provide a basis for our 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 control 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 Company’s internal control.
Evaluate the appropriateness of accounting policies used and the reasonableness of accounting estimates and related disclosures made by management.
Conclude on the appropriateness of 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 the Company’s ability to continue 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 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 the Company to cease to continue as a going concern.
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Evaluate the overall presentation, structure and content of the financial statements, including the disclosures, and whether the financial statements represent the underlying transactions and events in a manner that achieves fair presentation.
Obtain sufficient and appropriate audit evidence regarding the financial information of the entities or business activities within the Company to express an opinion on the financial statements. We are responsible for the direction, supervision, and performance of the audit. We remain solely responsible for our audit opinion.

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 statements 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 those matters that were of most significance in the audit of the financial statements for the year ended December 31, 2021 and are therefore the key audit matters. 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.

The engagement partners on the audits resulting in this independent auditors’ report are Wen-Chin Lin and Chien-Liang Liu.

Deloitte & Touche Taipei, Taiwan Republic of China

March 11, 2022

Notice to Readers

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

For the convenience of readers, the independent auditors’ report and the accompanying financial statements have been translated into English from the original Chinese version prepared and used in the ROC. 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 financial statements shall prevail.

GLOBAL VIEW CO., LTD.

BALANCE SHEETS DECEMBER 31, 2021 AND 2020 (In Thousands of New Taiwan Dollars)

ASSETS CURRENT ASSETS Cash and cash equivalents (Notes 4 and 6) Financial assets at fair value through profit or loss (Notes 4 and 7) Financial assets amortized cost (Notes 4 and 9) Other receivables (Note 4) Other current assets Total current assets NON-CURRENT ASSETS Financial assets at fair value through other comprehensive income (Notes 4 and 8) Investments accounted for using the equity method (Notes 4 and 10) Property, plant and equipment (Notes 4 , 11 and 22) Investment properties (Notes 4 and 13) Deferred tax assets (Notes 4 and 18) Total non-current assets TOTAL LIABILITIES AND EQUITY CURRENT LIABILITIES Trade payables Other payables (Note 14) Current tax liabilities Other current liabilities Total current liabilities NON-CURRENT LIABILITIES Deferred tax labilities (Notes 4 and 18) Guarantee deposits received Total non-current liabilities Total liabilities EQUITY (Notes 10 and 16) Ordinary shares Capital surplus Retained earnings Legal reserve Special reserve Unappropriated earnings Total retained earnings Other equity Total equity TOTAL		2021 Amount % $ 11,131 1 - - 337,064 20 14 - 130 - 348,339 21 389,978 23 861,127 51 70,971 4 12,280 1 4,619 - 1,338,975 79 $ 1,687,314 100 $ - - 8,113 1 5,196 - 146 - 13,455 1 20,917 1 203 - 21,120 1 34,575 2 630,000 37 13,373 1 413,637 24 59,747 4 245,527 15 718,911 43 290,455 17 1,652,739 98 $ 1,687,314 100		2020
				Amount % $ 174,215 10 16,275 1 349,491 21 1,627 - 102 - 541,710 32 183,696 11 902,207 52 71,884 4 12,543 1 95 - 1,170,425 68 $ 1,712,135 100 $ 60 - 16,479 1 10,534 1 82 - 27,155 2 7,038 - 176 - 7,214 - 34,369 2 630,000 37 13,360 1 373,848 22 59,747 3 507,003 30 940,598 55 93,808 5 1,677,766 98 $ 1,712,135 100

The accompanying notes are an integral part of the financial statements.

GLOBAL VIEW CO., LTD.

STATEMENTS OF COMPREHENSIVE INCOME FOR THE YEARS ENDED DECEMBER 31, 2021 AND 2020 (In Thousands of New Taiwan Dollars, Except Earnings Per Share)

OPERATING REVENUE Sales revenue (Note 21) Rental revenue Total operating revenue OPERATING COSTS Cost of goods sold (Note 13) Rental costs Total operating costs GROSS PROFIT OPERATING EXPENSES (Note 17) Selling and marketing expenses General and administrative expenses Research and development expenses Total operating expenses LOSS FROM OPERATIONS NON-OPERATING INCOME AND EXPENSES Interest income Other income (Notes 17 and 21) Other gains and losses (Note 17) Finance costs Share of profit or loss of subsidiaries and associates Total non-operating income and expenses PROFIT BEFORE INCOME TAX INCOME TAX EXPENSE (Notes 4 and 18) NET PROFIT		2021	% 52 48 100 48 13 61 39 15 846 5 866 (827) 103 307 2,239 - 4,110 6,759 5,932 704 5,228		2020
		Amount $ 1,230 1,142 2,372 1,140 302 1,442 930 358 20,070 120 20,548 (19,618) 2,433 7,272 53,118 - 97,497 160,320 140,702 16,682 124,020			Amount % $ 825 47 913 53 1,738 100 756 43 295 17 1,051 60 687 40 - - 29,243 1,683 - - 29,243 1,683 (28,556) (1,643) 3,491 201 3,419 197 224,866 12,938 (504) (29) 210,236 12,096 441,508 25,403 412,952 23,760 13,716 789 399,236 22,971 (Continued)

GLOBAL VIEW CO., LTD.

STATEMENTS OF COMPREHENSIVE INCOME FOR THE YEARS ENDED DECEMBER 31, 2021 AND 2020 (In Thousands of New Taiwan Dollars, Except Earnings Per Share)

2021	2020
Amount $ 206,282 7,692 (3,533) (401) 210,040 $ 334,060 $ 1.97 $ 1.97	Amount $ 47,681 6,563 9,857 1,443 65,544 $ 464,780 $ 6.34 $ 6.33	% 2,743 378 567 83 3,771 26,742

$	$

The accompanying notes are an integral part of the financial statements.

(Concluded)

GLOBAL VIEW CO., LTD.

STATEMENTS OF CHANGES IN EQUITY FOR THE YEARS ENDED DECEMBER 31, 2021 AND 2020 (In Thousands of New Taiwan Dollars)

BALANCE AT JANUARY 1, 2020 Appropriation of 2019 earnings Legal reserve Cash dividends Changes in equity of associates accounted for using equity method Net profit in 2020 Other comprehensive income (loss) in 2020 Total comprehensive income in 2020 BALANCE AT DECEMBER 31, 2020 Appropriation of 2020 earnings Legal reserve Cash dividends Changes in equity of associates accounted for using equity method Disposal of investments in equity instruments designated as at fair value through other comprehensive income by associates Net profit in 2021 Other comprehensive income (loss) in 2021 Total comprehensive income (loss) in 2021 BALANCE AT DECEMBER 31, 2021		Share Capital Number of Shares (In Thousands) Ordinary Share Capital Surplus 63,000 $ 630,000 $ 13,335 - - - - - - - - 25 - - - - - - - - - 63,000 630,000 13,360 - - - - - - - - 13 - - - - - - - - - - - - 63,000 $ 630,000 $ 13,373	Retained Earnings	Total $ 637,210 - (94,500) - 399,236 (1,348) 397,888 940,598 - (359,100) - 13,337 124,020 56 124,076 $ 718,911	Other Equity	Total $ 26,916 - - - - 66,892 66,892 93,808 - - - (13,337) - 209,984 209,984 $ 290,455	Total Equity $ 1,307,461 - (94,500) 25 399,236 65,544 464,780 1,677,766 - (359,100) 13 - 124,020 210,040 334,060 $ 1,652,739
					Exchange Differences on Translation of the Financial Unrealized Gain (Loss) on Financial Assets at Fair Value Through Statements of Other Foreign Operations Comprehensive Income $ (106,740) $ 133,656 - - - - - - - - 11,300 55,592 11,300 55,592 (95,440) 189,248 - - - - - - - (13,337) - - (3,934) 213,918 (3,934) 213,918 $ (99,374) $ 389,829

			Legal Reserve Special Reserve Unappropriated Earnings $ 365,255 $ 59,747 $ 212,208 8,593 - (8,593) - - (94,500) - - - - - 399,236 - - (1,348) - - 397,888 373,848 59,747 507,003 39,789 - (39,789) - - (359,100) - - - - - 13,337 - - 124,020 - - 56 - - 124,076 $ 413,637 $ 59,747 $ 245,527

The accompanying notes are an integral part of the financial statements.

GLOBAL VIEW CO., LTD.

STATEMENTS OF CASH FLOWS FOR THE YEARS ENDED DECEMBER 31, 2021 AND 2020 (In Thousands of New Taiwan Dollars)

CASH FLOWS FROM OPERATING ACTIVITIES Income before income tax Adjustments for: Depreciation expense Net gain on fair value changes of financial assets through profit or loss Finance costs Interest income Dividend income Share of profit of subsidiaries and associates Gain on disposal of associate Net unrealized loss on foreign currency exchange Changes in operating assets and liabilities Other receivables Other current assets Trade payables Other payables Other current liabilities Cash used in operations Interest received Interest paid Income tax (paid) refunded Net cash used in operating activities CASH FLOWS FROM INVESTING ACTIVITIES Purchase of financial assets at amortized cost Proceeds from sale of financial assets at amortized cost Purchase of financial assets at fair value through profit or loss Proceeds from sale of financial assets at fair value through profit or loss Net cash inflow on disposal of associates Refund of capital reduction of subsidiaries Payments for property, plant and equipment Other dividends received Dividends received from subsidiaries and associates Net cash generated from investing activities CASH FLOWS FROM FINANCING ACTIVITIES Repayments of long-term borrowings Proceeds from guarantee deposits received Dividends paid Net cash used in financing activities	2021 $ 140,702 1,353 (168) - (2,433) (5,275) (97,497) (60,221) 5,309 (14) (28) (60) (8,366) 64 (26,634) 2,433 - (12,665) (36,866) (593,548) 603,666 - 15,573 106,340 - (177) 5,275 97,856 234,985 - 27 (359,100) (359,073)	2020 $ 412,952 1,471 (182) 504 (3,491) (3,011) (210,236) (231,173) 2,129 51 160 (372) 11,201 (18) (20,015) 3,491 (504) 3,149 (13,879) (435,655) 297,524 (16,093) - 288,962 168,960 - 3,011 21,676 328,385 (52,823) 56 (94,500) (147,267) (Continued)

GLOBAL VIEW CO., LTD.

STATEMENTS OF CASH FLOWS FOR THE YEARS ENDED DECEMBER 31, 2021 AND 2020 (In Thousands of New Taiwan Dollars)

EFFECTS OF EXCHANGE RATE CHANGES ON THE BALANCE OF CASH AND CASH EQUIVALENTS HELD IN FOREIGN CURRENCIES NET (DECREASE) INCREASE IN CASH AND CASH EQUIVALENTS CASH AND CASH EQUIVALENTS AT THE BEGINNING OF THE YEAR CASH AND CASH EQUIVALENTS AT THE END OF THE YEAR The accompanying notes are an integral part of the financial statements.	2021 $ (2,130) (163,084) 174,215 $ 11,131	2020 $ (4,939) 162,300 11,915 $ 174,215 (Concluded)

NOTES TO FINANCIAL STATEMENTS FOR THE YEARS ENDED DECEMBER 31, 2021 AND 2020 (In Thousands of New Taiwan Dollars, Unless Stated Otherwise)

GLOBAL VIEW CO., LTD.

1. GENERAL

Global View Co., Ltd. (the “Company”), was incorporated in the Republic of China (ROC) on May 15, 1986. The Company is a manufacturer and seller of electronic dictionaries, and lessor of properties.

The Company’s shares were previously listed on the Taipei Exchange (TPEx) Mainboard from December 28, 2000 until it became listed on the Taiwan Stock Exchange (TWSE) on August 26, 2002.

These financial statements are presented in the Company’s functional currency, the New Taiwan dollar.

2. APPROVAL OF FINANCIAL STATEMENTS

The financial statements were approved by the Company’s board of directors on March 11, 2022.

3. APPLICATION OF NEW, AMENDED AND REVISED STANDARDS AND INTERPRETATIONS

a. Initial application of the International Financial Reporting Standards (IFRS), International Accounting Standards (IAS), IFRIC Interpretations (IFRIC), and SIC Interpretations (SIC) (collectively, the “IFRSs”) endorsed and issued into effect by the Financial Supervisory Commission (FSC)

The initial application of the IFRSs endorsed and issued into effect by the FSC did not have material impact on the Company’s accounting policies.

b. The IFRSs endorsed by the FSC for application starting from 2022

New IFRSs “Annual Improvements to IFRS Standards 2018-2020” Amendments to IFRS 3 “Reference to the Conceptual Framework” Amendments to IAS 16 “Property, Plant and Equipment - Proceeds before Intended Use” Amendments to IAS 37 “Onerous Contracts - Cost of Fulfilling a Contract”	Effective Date Announced by IASB
	January 1, 2022 (Note 1) January 1, 2022 (Note 2) January 1, 2022 (Note 3) January 1, 2022 (Note 4)

Note 1: The amendments to IFRS 9 will be applied 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” will be applied 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” will be applied retrospectively for annual reporting periods beginning on or after January 1, 2022.
Note 2: The amendments are applicable to business combinations for which the acquisition date is on or after the beginning of the annual reporting period beginning on or after January 1, 2022.
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Note 3: The amendments are applicable 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 4: The amendments are applicable to contracts for which the entity has not yet fulfilled all its obligations on January 1, 2022.

As of the date the financial statements were authorized for issue, the Company has assessed that the application of the aforementioned standards and interpretations will not have a material impact on the Company’s financial position and financial performance.

c. New IFRSs in issue but not yet endorsed and issued into effect by the FSC

New IFRSs 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 IFRS 17 “Initial Application of IFRS 9 and IFRS 17 - Comparative Information” Amendments to IAS 1 “Classification of Liabilities as Current or Non-current” Amendments to IAS 1 “Disclosure of Accounting Policies” Amendments to IAS 8 “Definition of Accounting Estimates” Amendments to IAS 12 “Deferred Tax related to Assets and Liabilities arising from a Single Transaction”	Effective Date Announced by IASB (Note 1)
	To be determined by IASB January 1, 2023 January 1, 2023 January 1, 2023 January 1, 2023 January 1, 2023 (Note 2) January 1, 2023 (Note 3) January 1, 2023 (Note 4)

New IFRSs
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 IFRS 17 “Initial Application of IFRS 9 and IFRS 17 -
Comparative Information”
Amendments to IAS 1 “Classification of Liabilities as Current or
Non-current”
Amendments to IAS 1 “Disclosure of Accounting Policies”
Amendments to IAS 8 “Definition of Accounting Estimates”
Amendments to IAS 12 “Deferred Tax related to Assets and
Liabilities arising from a Single Transaction”

Effective Date
Announced by IASB (Note 1)

To be determined by IASB
January 1, 2023
January 1, 2023
January 1, 2023
January 1, 2023
January 1, 2023 (Note 2)
January 1, 2023 (Note 3)
January 1, 2023 (Note 4)

Note 1: Unless stated otherwise, the above New IFRSs are effective for annual reporting periods beginning on or after their respective effective dates.
Note 2: The amendments will be applied prospectively for annual reporting periods beginning on or after January 1, 2023.
Note 3: The amendments are applicable to changes in accounting estimates and changes in accounting policies that occur on or after the beginning of the annual reporting period beginning on or after January 1, 2023.
Note 4: Except for deferred taxes that will be recognized on January 1, 2022 for temporary differences associated with leases and decommissioning obligations, the amendments will be applied prospectively to transactions that occur on or after January 1, 2022.

As of the date the financial statements were authorized for issue, the Company is continuously assessing the possible impact that the application of the aforementioned standards and interpretations will have on the Company’s financial position and financial performance and will disclose the relevant impact when the assessment is completed.

4. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

Statement of Compliance

The financial statements have been prepared in accordance with the Regulations Governing the Preparation of Financial Reports by Securities Issuers.

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Basis of Preparation

The financial statements have been prepared on the historical cost basis except for financial instruments which are measured at fair value.

The fair value measurements, which are grouped into Levels 1 to 3 based on the degree to which the fair value measurement inputs are observable and based on the significance of the inputs to the fair value measurement in its entirety, are described as follows:

a. Level 1 inputs are quoted prices (unadjusted) in active markets for identical assets or liabilities;
b. Level 2 inputs are inputs other than quoted prices included within Level 1 that are observable for an asset or liability, either directly (i.e., as prices) or indirectly (i.e., derived from prices); and
c. Level 3 inputs are unobservable inputs for an asset or liability.

When preparing the parent company only financial statements, the Company accounted for subsidiaries and associates by using the equity method. In order to agree with the amount of net income, other comprehensive income and equity attributable to shareholders of the parent in the consolidated financial statements, the differences of the accounting treatment between the parent company only basis and the consolidated basis are adjusted under the heading of investments accounted for using equity method, share of profits of subsidiaries and associates and share of other comprehensive income of subsidiaries and associates in the parent company only financial statements.

Classification of Current and Non-current Assets and Liabilities

Current assets include:

a. Assets held primarily for the purpose of trading;
b. Assets expected to be realized within 12 months after the reporting period; and
c. Cash and cash equivalents unless the asset is restricted from being exchanged or used to settle a liability for at least 12 months after the reporting period.

Current liabilities include:

a. Liabilities held primarily for the purpose of trading;
b. Liabilities due to be settled within 12 months after the reporting period; and
c. Liabilities for which the Company does not have an unconditional right to defer settlement for at least 12 months after the reporting period.

Assets and liabilities that are not classified as current are classified as non-current.

Foreign Currencies

In preparing the financial statements of the Company, transactions in currencies other than the Company’s functional currency (i.e. foreign currencies) are recognized at the rates of exchange prevailing at the dates of the transactions.

At the end of each reporting period, monetary items denominated in foreign currencies are retranslated at the rates prevailing at that date. Exchange differences on monetary items arising from settlement or translation are recognized in profit or loss in the period in which they arise.

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Non-monetary items denominated in foreign currencies that are measured at fair value are retranslated at the rates prevailing at the date when the fair value is determined. Exchange differences arising from the retranslation of non-monetary items are included in profit or loss for the period except for exchange differences arising from the retranslation of non-monetary items in respect of which gains and losses are recognized directly in other comprehensive income; in which cases, the exchange differences are also recognized directly in other comprehensive income.

Non-monetary item denominated in a foreign currency and measured at historical cost is stated at the reporting currency as originally translated from the foreign currency.

For the purpose of presenting the financial statements, the functional currencies of the foreign operations (including subsidiaries and associates operating in other countries that are prepared using functional currencies which are different from the currency of the Company) are translated into the presentation currency, the New Taiwan dollar, as follows: Assets and liabilities are translated at the exchange rates prevailing at the end of the reporting period; and income and expense items are translated at the average exchange rates for the period. The resulting currency translation differences are recognized in other comprehensive income.

Investments in Subsidiaries

The Company uses the equity method to account for its investments in subsidiaries.

A subsidiary is an entity that is controlled by the Company.

Under the equity method, an investment in a subsidiary is initially recognized at cost and adjusted thereafter to recognize the Company’s share of the profit or loss and other comprehensive income of the subsidiary. The Company also recognizes the changes in the Company’s share of other equity of subsidiaries.

Changes in the Company’s ownership interest in a subsidiary that do not result in the Company losing control of the subsidiary are accounted for as equity transactions. The Company recognizes directly in equity any difference between the carrying amount of the investment and the fair value of the consideration paid or received.

The Company assesses its investment for any impairment by comparing the carrying amount with the estimated recoverable amount as assessed based on the investee’s financial statements as a whole. Impairment loss is recognized when the carrying amount exceeds the recoverable amount. If the recoverable amount of the investment subsequently increases, the Company recognizes a reversal of the impairment loss; the adjusted post-reversal carrying amount should not exceed the carrying amount that would have been recognized (net of amortization or depreciation) had no impairment loss been recognized in prior years.

Profit or loss resulting from downstream transactions is eliminated in full only in the parent’s financial statements. Profit or loss resulting from upstream transactions and transactions between subsidiaries is recognized only in the parent’s financial statements and only to the extent of interests in the subsidiaries that are not related to the Company.

Investments in Associates

An associate is an entity over which the Company has significant influence and that is not a subsidiary.

The Company uses the equity method to account for its investments in associates.

Under the equity method, investments in an associate are initially recognized at cost and adjusted thereafter to recognize the Company’s share of the profit or loss and other comprehensive income of the associate. The Company also recognizes the changes in the Company’s share of the equity of associates.

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Any excess of the cost of acquisition over the Company’s share of the net fair value of the identifiable assets and liabilities of an associate at the date of acquisition is recognized as goodwill, which is included within the carrying amount of the investment and is not amortized. Any excess of the Company’s share of the net fair value of the identifiable assets and liabilities over the cost of acquisition, after reassessment, is recognized immediately in profit or loss.

When the Company subscribes for additional new shares of an associate at a percentage different from its existing ownership percentage, the resulting carrying amount of the investment differs from the amount of the Company’s proportionate interest in the associate. The Company records such a difference as an adjustment to investments with the corresponding amount charged or credited to capital surplus - changes in capital surplus from investments in associates accounted for using the equity method. If the Company’s ownership interest is reduced due to its additional subscription of the new shares of the associate, the proportionate amount of the gains or losses previously recognized in other comprehensive income in relation to that associate is reclassified to profit or loss on the same basis as would be required had the investee directly disposed of the related assets or liabilities. When the adjustment should be debited to capital surplus, but the capital surplus recognized from investments accounted for using the equity method is insufficient, the shortage is debited to retained earnings.

The entire carrying amount of an investment (including goodwill) is tested for impairment as a single asset by comparing its recoverable amount with its carrying amount. Any impairment loss recognized is not allocated to any asset, including goodwill, that forms part of the carrying amount of the investment. Any reversal of that impairment loss is recognized to the extent that the recoverable amount of the investment subsequently increases.

When the Company transacts with its associate, profits and losses resulting from the transactions with the associate are recognized in the Company’s financial statements only to the extent of interests in the associate that are not related to the Company.

Property, Plant and Equipment

Property, plant and equipment are initially measured at cost and subsequently measured at cost less accumulated depreciation and accumulated impairment loss.

Except for freehold land which is not depreciated, the depreciation of property, plant and equipment is recognized using the straight-line method. Each significant part is depreciated separately. The estimated useful lives, residual values and depreciation methods are reviewed at the end of each reporting period, with the effects of any changes in the estimates accounted for on a prospective basis.

On derecognition of an item of property, plant and equipment, the difference between the sales proceeds and the carrying amount of the asset is recognized in profit or loss.

Investment Properties

Investment properties are properties held to earn rental and/or for capital appreciation. Investment properties also include land held for a currently undetermined future use.

Investment properties are initially measured at cost, including transaction costs. Subsequent to initial recognition, investment properties are measured at cost less accumulated depreciation and accumulated impairment loss. Depreciation is recognized using the straight-line method.

For a transfer of classification from investment properties to property, plant and equipment, the deemed cost of the property for subsequent accounting is its carrying amount at the commencement of owner-occupation.

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Impairment of Property, Plant and Equipment, and Investment Properties

At the end of each reporting period, the Company reviews the carrying amounts of its property, plant and equipment and investment properties 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 Company estimates the recoverable amount of the cash-generating unit to which the asset belongs. Corporate assets are allocated to the individual cash-generating units or to the smallest group of cash-generating units on a reasonable and consistent basis of allocation.

The recoverable amount is the higher of fair value less costs to sell and value in use. If the recoverable amount of an asset or cash-generating unit is estimated to be less than its carrying amount, the carrying amount of the asset or cash-generating unit is reduced to its recoverable amount, with the resulting impairment loss recognized in profit or loss.

When an impairment loss is subsequently reversed, the carrying amount of the corresponding asset or cash-generating unit is increased to the revised estimate of its recoverable amount, but only to the extent of the carrying amount that would have been determined had no impairment loss been recognized on the asset, cash-generating unit or assets related to contract costs in prior years. A reversal of an impairment loss is recognized in profit or loss.

Financial Instruments

Financial assets and financial liabilities are recognized when the Company becomes a party to the contractual provisions of the instruments.

Financial assets and financial liabilities are initially measured at fair value. Transaction costs that are directly attributable to the acquisition or issuance of financial assets and financial liabilities (other than financial assets and financial liabilities at FVTPL) are added to or deducted from the fair value of the financial assets or financial liabilities, as appropriate, on initial recognition. Transaction costs directly attributable to the acquisition of financial assets or financial liabilities at FVTPL are recognized immediately in profit or loss.

Financial assets

All regular way purchases or sales of financial assets are recognized and derecognized on a trade date basis.

a. Measurement categories

Financial assets are classified into the following categories: Financial assets at FVTPL, financial assets at amortized cost, and investments in equity instruments at FVTOCI.

1) Financial assets at FVTPL

Financial assets are classified as at FVTPL when such financial assets are mandatorily classified as at FVTPL. Financial assets mandatorily classified as at FVTPL include investments in equity instruments which are not designated as at FVTOCI and debt instruments that do not meet the amortized cost criteria or the FVTOCI criteria.

Financial assets at FVTPL are subsequently measured at fair value, and any dividends or interest earned on such financial assets are recognized in other income and interest income, respectively; any remeasurement gains or losses on such financial assets are recognized in other gains or losses. Fair value is determined in the manner described in Note 20 Financial Instruments.

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2) Financial assets at amortized cost

Financial assets that meet the following conditions are subsequently measured at amortized cost:

a) The financial assets are held within a business model whose objective is to hold financial assets in order to collect contractual cash flows; and
b) The contractual terms of the financial assets give rise on specified dates to cash flows that are solely payments of principal and interest on the principal amount outstanding.

Subsequent to initial recognition, financial assets at amortized cost, including cash and cash equivalents, other receivables, refundable deposits and time deposit with original maturities of more than 3 months are measured at amortized cost, which equals the gross carrying amount determined using the effective interest method less any impairment loss. Exchange differences are recognized in profit or loss.

Interest income is calculated by applying the effective interest rate to the gross carrying amount of such a financial asset.

Cash equivalents include time deposits with original maturities within 3 months from the date of acquisition, which are highly liquid, readily convertible to a known amount of cash and are subject to an insignificant risk of changes in value. These cash equivalents are held for the purpose of meeting short-term cash commitments.

3) Investments in equity instruments at FVTOCI

On initial recognition, the Company may make an irrevocable election to designate investments in equity instruments as at FVTOCI. Designation as at FVTOCI is not permitted if the equity investment is held for trading or if it is contingent consideration recognized by an acquirer in a business combination.

Investments in equity instruments at FVTOCI are subsequently measured at fair value with gains and losses arising from changes in fair value recognized in other comprehensive income and accumulated in other equity. The cumulative gain or loss will not be reclassified to profit or loss on disposal of the equity investments; instead, it will be transferred to retained earnings.

Dividends on these investments in equity instruments are recognized in profit or loss when the Company’s right to receive the dividends is established, unless the dividends clearly represent a recovery of part of the cost of the investment.

b. Impairment of financial assets

The Company recognizes a loss allowance for expected credit losses on financial assets at amortized cost (including trade receivables).

The Company always recognizes lifetime expected credit losses (ECLs) for trade receivables. For all other financial instruments, the Company recognizes lifetime ECLs when there has been a significant increase in credit risk since initial recognition. If, on the other hand, the credit risk on a financial instrument has not increased significantly since initial recognition, the Company measures the loss allowance for that financial instrument at an amount equal to 12-month ECLs.

Expected credit losses reflect the weighted average of credit losses with the respective risks of default occurring as the weights. Lifetime ECLs represent the expected credit losses that will result from all possible default events over the expected life of a financial instrument. In contrast, 12-month ECLs represent the portion of lifetime ECLs that is expected to result from default events on a financial instrument that are possible within 12 months after the reporting date.

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For internal credit risk management purposes, the Company considers the following situations as indication that a financial asset is in default (without taking into account any collateral held by the Company):

1) Internal or external information shows that the debtor is unlikely to pay its creditors.
2) Financial asset is more than 60 days past due unless the Company has reasonable and corroborative information to support a more lagged default criterion.

The impairment loss of all financial assets is recognized in profit or loss by a reduction in their carrying amounts through a loss allowance account.

c. Derecognition of financial assets

The Company derecognizes a financial asset only when the contractual rights to the cash flows from the asset expire or when it transfers the financial asset and substantially all the risks and rewards of ownership of the asset to another party.

On derecognition of a financial asset at amortized cost in its entirety, the difference between the asset’s carrying amount and the sum of the consideration received and receivable is recognized in profit or loss.

On derecognition of an investment in equity instrument at FVTOCI, the difference between the asset’s carrying amount and the sum of the consideration received and receivable is recognized in profit or loss, and the cumulative gain or loss which had been recognized in other comprehensive income is transferred directly to retained earnings, without recycling through profit or loss.

Financial liabilities

a. Subsequent measurement

All financial liabilities are measured at amortized cost using the effective interest method.

b. Derecognition of financial liabilities

The difference between the carrying amount of a financial liability derecognized and the consideration paid, including any non-cash assets transferred or liabilities assumed, is recognized in profit or loss.

Revenue Recognition

The Company identifies contracts with customers, allocates the transaction price to the performance obligations and recognizes revenue when performance obligations are satisfied.

Revenue from the sale of goods

Revenue from the sale of goods comes from sales of electronic dictionaries. Sales of goods are recognized as revenue when the goods are shipped because it is the time when the customer has full discretion over the manner of distribution and price to sell the goods, and has the primary responsibility for sales to future customers and bears the risk of obsolescence. Trade receivables are recognized concurrently.

Leases

At the inception of a contract, the Company assesses whether the contract is, or contains, a lease.

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The Company as lessor

Lease payments (less any lease incentives payable) from operating leases are recognized as income on a straight-line basis over the terms of the relevant leases.

The Company as lessee

The Company recognizes right-of-use assets and lease liabilities for all leases at the commencement date of a lease, except for short-term leases and low-value asset leases accounted for by applying a recognition exemption where lease payments are recognized as expenses on a straight-line basis over the lease terms.

Right-of-use assets are initially measured at cost, which comprises the initial measurement of lease liabilities adjusted for lease payments made at or before the commencement date, plus any initial direct costs incurred and an estimate of costs needed to restore the underlying assets, and less any lease incentives received. Right-of-use assets are subsequently measured at cost less accumulated depreciation and impairment losses and adjusted for any remeasurement of the lease liabilities. Right-of-use assets are presented on a separate line in the balance sheets.

Right-of-use assets are depreciated using the straight-line method from the commencement dates to the earlier of the end of the useful lives of the right-of-use assets or the end of the lease terms.

Lease liabilities are initially measured at the present value of the lease payments, the lease payments are discounted using the interest rate implicit in a lease, if that rate can be readily determined. If that rate cannot be readily determined, the Company uses the lessee’s incremental borrowing rate.

Subsequently, lease liabilities are measured at amortized cost using the effective interest method, with interest expense recognized over the lease terms. Lease liabilities are presented on a separate line in the balance sheets.

Employee Benefits

a. Short-term employee benefits

Liabilities recognized in respect of short-term employee benefits are measured at the undiscounted amount of the benefits expected to be paid in exchange for the related services.

b. Retirement benefits

Payments to defined contribution retirement benefit plans are recognized as expenses when employees have rendered services entitling them to the contributions.

c. Termination benefits

A liability for a termination benefit is recognized at the earlier of when the Company can no longer withdraw the offer of the termination benefit and when the Company recognizes any related restructuring costs.

Taxation

Income tax expense represents the sum of the tax currently payable and deferred tax.

a. Current tax

Income tax payable is based on taxable profit for the year determined according to the applicable tax laws of each tax jurisdiction.

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According to the Income Tax Law in the ROC, an additional tax on unappropriated earnings is provided for in the year the shareholders approve to retain earnings.

Adjustments of prior years’ tax liabilities are added to or deducted from the current year’s tax provision.

b. Deferred tax

Deferred tax is recognized on temporary differences between the carrying amounts of assets and liabilities and the corresponding tax bases used in the computation of taxable profit.

Deferred tax liabilities are generally recognized for all taxable temporary differences. Deferred tax assets are generally recognized for all deductible temporary differences and unused loss carryforwards to the extent that it is probable that taxable profits will be available against which those deductible temporary differences can be utilized.

Deferred tax liabilities are recognized for taxable temporary differences associated with investments in subsidiaries and associates, except where the Company 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. Deferred tax assets arising from deductible temporary differences associated with such investments and interests are recognized only to the extent that it is probable that there will be sufficient taxable profits against which to utilize the benefits of the temporary differences and such temporary differences are expected to reverse in the foreseeable future.

The carrying amount of deferred tax assets is reviewed at the end of each reporting period and reduced to the extent that it is no longer probable that sufficient taxable profits will be available to allow all or part of the assets to be recovered. A previously unrecognized deferred tax asset is also reviewed at the end of each reporting period and recognized to the extent that it has become probable that future taxable profit will allow the deferred tax asset to be recovered.

Deferred tax liabilities and assets are measured at the tax rates that are expected to apply in the period in which the liabilities are settled or the assets are realized, based on tax rates and tax laws that have been enacted or substantively enacted by the end of the reporting period. The measurement of deferred tax liabilities and assets reflects the tax consequences that would follow from the manner in which the Company expects, at the end of the reporting period, to recover or settle the carrying amount of its assets and liabilities.

c. Current and deferred taxes

Current and deferred taxes are recognized in profit or loss, except when they relate to items that are recognized in other comprehensive income or directly in equity; in which case, the current and deferred taxes are also recognized in other comprehensive income or directly in equity, respectively.

5. CRITICAL ACCOUNTING JUDGMENTS AND KEY SOURCES OF ESTIMATION UNCERTAINTY

In the application of the Company’s accounting policies, management is required to make judgments, estimations, and assumptions on the carrying amounts of assets and liabilities that are not readily apparent from other sources. The estimates and associated assumptions are based on historical experience and other factors that are considered relevant. Actual results may differ from these estimates.

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The Company considers the possible impact of the recent development of the COVID-19 in Taiwan and its economic environment implications when making its critical accounting estimates on cash flow projections, growth rate, discount rate, profitability, etc. The estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognized in the period in which the estimates are revised if the revisions affect only that period or in the period of the revisions and future periods if the revisions affect both current and future periods.

Critical Accounting Judgments

Significant influence over associates

The Company, the single largest shareholder with less than 50% of the voting rights on the investee, does not have control but has significant influence over the investee.

As stated in Note 10, the Company is the single largest shareholder with 17.63% of the voting rights on Radiant Innovation Inc. Considering the size of the Company’s holding of voting rights relative to the size and dispersion of holdings of the other shareholders and the voting patterns at previous shareholders’ meetings, which indicate that other shareholders are not passive, the Company is not able to appoint more than half of the members of Radiant Innovation Inc.’s governing body. Therefore, the Company cannot direct the relevant activities of and does not have control over Radiant Innovation Inc. Consequently, the Company considered and classified Radiant Innovation Inc. as an associate by virtue of the Company’s ability to exercise significant influence over Radiant Innovation Inc.

Key Sources of Estimation Uncertainty

Income taxes

Due to the unpredictability of future profit streams. A key source of estimation uncertainty is the determination of the realizability of deferred tax assets, which mainly depends on whether sufficient future profit or taxable temporary differences will be available. In cases where the actual future profit generated is greater than expected, a further material recognition of deferred tax assets may arise, which would be recognized in the period in which further recognition takes place.

6. CASH AND CASH EQUIVALENTS

Cash on hand Demand deposits Cash equivalents (investments with original maturities of 3 months or less) Time deposits		December 31	December 31
		2021 $ 50 11,081 - $ 11,131	2020 $ 50 88,725 85,440 $ 174,215

The ranges of market interest rates for cash in bank and time deposits at the end of the reporting period were as follows:

Demand deposits Time deposits	December 31
	2021 2020 0.01%-0.30% 0.005%-0.30% - 0.25%-0.76%

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7. FINANCIAL ASSETS AT FAIR VALUE THROUGH PROFIT OR LOSS

Financial assets mandatorily classified as at FVTPL Non-derivative financial assets Mutual funds		December	31
		2021 $ -	2020 $ 16,275

8. FINANCIAL ASSETS AT FAIR VALUE THROUGH OTHER COMPREHENSIVE INCOME

Non-current Domestic investments Listed shares Sunplus Technology Co., Ltd.		December 31	December 31
		2021 $ 389,978	2020 $ 183,696

These investments in equity instruments are held for medium- to long-term strategic purposes. Accordingly, the management elected to designate these investments in equity instruments as at FVTOCI as they believe that recognizing short-term fluctuations in these investments’ fair value in profit or loss would not be consistent with the Company’s strategy of holding these investments for long-term purposes.

9. FINANCIAL ASSETS AT AMORTIZED COST

Current Time deposits with original maturities of more than 3 months		December 31	December 31
		2021 $ 337,064	2020 $ 349,491

The ranges of interest rates for time deposits with original maturities of more than 3 months were approximately 0.21%-0.54% and 0.33%-0.76% per annum as of December 31, 2021 and 2020, respectively.

10. INVESTMENTS ACCOUNTED FOR USING THE EQUITY METHOD

Investments in subsidiary Investments in associates		December 31	December 31
		2021 $ 676,128 184,999 $ 861,127	2020 $ 620,951 281,256 $ 902,207

Investments in Subsidiary

Global View Co., Ltd. (Cayman)		December 31	December 31
		2021 $ 676,128	2020 $ 620,951

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Name of Subsidiary Global View Co., Ltd. (Cayman)	Proportion of Ownership and Voting Rights
	December 31
	2021 2020 100% 100%

Global View Co., Ltd. (Cayman) reduced its share capital by US$6,000 thousand for the year ended 2020.

Refer to Table 2 “Information on Investees” and Table 3 “Information on Investments in Mainland China” for the nature of activities, principal places of business and countries of incorporation of the subsidiary.

Share of profit or loss of subsidiaries and share of the other comprehensive income or loss of subsidiaries accounted for using the equity method are recognized based on the financial statements which have been audited by the independent auditors of the same period.

Investments in Associates

Material associate Radiant Innovation Inc. Associate that is not individually material Nvtek Electronic Co., Ltd.		December 31	December 31
		2021 $ 179,770 5,229 $ 184,999	2020 $ 269,877 11,379 $ 281,256

a. Material associate

Principal Place of Name of Associate Nature of Activities Business Radiant Innovation Inc. Research, development, manufacture and sale of medical devices Taiwan	Proportion of Ownership and Voting Rights
	December 31
	2021 2020 17.63% 20.81%

The Company disposed of its shares of Radiant Innovation Inc. in the second quarter of 2020, resulting in a decrease in the proportion of ownership. For the years ended December 31, 2021 and 2020, gains on disposal of investments were $60,221 thousand and $231,173 thousand, respectively.

Share of profit or loss of associates and share of the other comprehensive income or loss of associates accounted for using the equity method are recognized based on the financial statements which have been audited by the independent auditors for the same period.

Fair values (Level 1) of investments in associates with available published price quotations are summarized as follows:

Name of Associate Radiant Innovation Inc.		December 31	December 31
		2021 $ 284,741	2020 $ 750,351

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The associate was accounted for using the equity method.

The summarized financial information below represents amounts shown in the associates’s financial statements prepared in accordance with IFRSs adjusted by the Company for equity accounting purposes.

Radiant Innovation Inc.

Current assets Non-current assets Current liabilities Non-current liabilities Equity Proportion of the Company’s ownership Equity attributable to the Company Unrealized gain or loss on associate Carrying amount Operating revenue Net profit for the year Other comprehensive income Total comprehensive income for the year Dividends received		December 31	December 31
	2021 2020 $ 703,914 $ 1,143,040 472,310 517,079 (101,348) (305,901) (7,055) (7,449) $ 1,067,821 $ 1,346,769 17.63% 20.81% $ 188,257 $ 280,262 (8,487) (10,385) $ 179,770 $ 269,877 For the Year Ended December 31
		2021 $ 902,096 $ 112,473 41,477 $ 153,950 $ 76,338	2020 $ 2,190,051 $ 736,350 38,247 $ 774,597 $ 21,676

b. Aggregate information of associate that is not individually material

Principal Proportion of Ownership and Voting Rights Place of December 31 Name of Associate Nature of Activities Business 2021 2020 Nvtek Electronic Co., Ltd. Research and development of electronic fidodarts machines Taiwan 42.95% 42.84% For the Year Ended December 31 2021 2020 The Company’s share of: Loss from continuing operations $ (6,142) $ (40,033) Other comprehensive income (loss) (21) 46 Total comprehensive loss for the year $ (6,163) $ (39,987)	Proportion of Ownership and Voting Rights	Proportion of Ownership and Voting Rights
	December 31
	2021 2020 42.95% 42.84% the Year Ended December 31
2021 $ (6,142) (21) $ (6,163)		2020 $ (40,033) 46 $ (39,987)

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In August 2020, Nvtek Electronic Co., Ltd. transferred treasury shares to employees, and thus the Company’s proportion of ownership decreased to 42.84%, generating a capital surplus of $25 thousand. In June 2021, Nvtek Electronic Co., Ltd. bought back its treasury shares, and the Company’s proportion of ownership increased to 42.95%.

11. PROPERTY, PLANT AND EQUIPMENT

Cost Balance at January 1, 2020 Balance at December 31, 2020 Accumulated depreciation Balance at January 1, 2020 Depreciation expense Balance at December 31, 2020 Carrying amount at December 31, 2020 Cost Balance at January 1, 2021 Additions Balance at December 31, 2021 Accumulated depreciation Balance at January 1, 2021 Depreciation expense Balance at December 31, 2021 Carrying amount at December 31, 2021	Freehold Land $ 36,989 $ 36,989 $ - - $ - $ 36,989 $ 36,989 - $ 36,989 $ - - $ - $ 36,989	Buildings Research Equipment $ 35,459 $ 309 $ 35,459 $ 309 $ 1,043 $ 309 695 - $ 1,738 $ 309 $ 33,721 $ - $ 35,459 $ 309 - - $ 35,459 $ 309 $ 1,738 $ 309 695 - $ 2,433 $ 309 $ 33,026 $ -	Facilities Other Equipment $ 67 $ 2,695 $ 67 $ 2,695 $ 50 $ 1,025 17 496 $ 67 $ 1,521 $ - $ 1,174 $ 67 $ 2,695 177 - $ 244 $ 2,695 $ 67 $ 1,521 44 351 $ 111 $ 1,872 $ 133 $ 823	Total $ 75,519
				$ 75,519
				$ 2,427 1,208
				$ 3,635
				$ 71,884
				$ 75,519 177
				$ 75,696
				$ 3,635 1,090
				$ 4,725
				$ 70,971

The above items of property, plant and equipment used by the Company are depreciated on a straight-line basis over their estimated useful lives as follows:

Main buildings	50 years
Research equipment	5 years
Facilities	3 years
Other equipment	2-5 years

Property, plant and equipment used by the Company and pledged as collateral for bank borrowings are set out in Note 22.

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12. LEASE ARRANGEMENTS

Other Lease Information

Expenses relating to short-term leases Total cash outflow for leases	For the Year Ended December 31	For the Year Ended December 31	For the Year Ended December 31
		2021 $ - $ -	2020 $ 3 $ (3)

The Company’s leases of certain building qualify as short-term leases. The Company has elected to apply the recognition exemption and thus, did not recognize right-of-use assets and lease liabilities for these leases.

13. INVESTMENT PROPERTIES

Cost Balance at January 1 and December 31 Accumulated depreciation and impairment Balance at January 1 Depreciation expense Balance at December 31 Carrying amount at December 31	For the Year Ended December 31	For the Year Ended December 31	For the Year Ended December 31
		2021 $ 21,243 $ 8,700 263 $ 8,963 $ 12,280	2020 $ 21,243 $ 8,437 263 $ 8,700 $ 12,543

Investment properties are depreciated using the straight-line method over their estimated useful lives as follows:

Main buildings	50 years
Air-conditioning units and maintenance works	2 years

The Company’s investment properties are land and building located in Zhonghe, which are subleased under operating leases; the lessees do not have bargain purchase options to acquire the investment properties at the expiry of the lease periods.

The fair value of investment properties, which included land and buildings, was evaluated by independent professional valuers as of December 31, 2021 and 2020. The fair value before deducting the provision for land appreciation tax and transfer-related taxes was as follows:

Fair value		December	31
		2021 $ 30,414	2020 $ 30,408

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The maturity analysis of lease payments receivable under operating leases was as follows:

Year 1 Year 2 Year 3		December	31
		2021 $ 947 813 - $ 1,760	2020 $ 827 720 480 $ 2,027

14. OTHER PAYABLES

Payables for compensation of employees and remuneration of directors and supervisors Payables for salaries and bonuses Payables for service fee Payables for annual leave Others		December	31
		2021 $ 4,352 1,966 900 351 544 $ 8,113	2020 $ 12,771 1,819 1,070 351 468 $ 16,479

15. RETIREMENT BENEFIT PLANS

Defined Contribution Plan

The Company adopted a pension plan under the Labor Pension Act (LPA), which is a state-managed defined contribution plan. Under the LPA, the Company makes monthly contributions to employees’ individual pension accounts at 6% of monthly salaries and wages.

16. EQUITY

a. Ordinary shares

Number of shares authorized (in thousands) Shares authorized Number of shares issued and fully paid (in thousands) Shares issued and fully paid		December 31	December 31
		2021 177,200 $ 1,772,000 63,000 $ 630,000	2020 177,200 $ 1,772,000 63,000 $ 630,000

Fully paid ordinary shares, which have a par value of $10, carry one vote per share and carry a right to dividends.

A total of 10,000 thousand shares of the Company’s authorized shares was reserved for the issuance of employee share options.

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b. Capital surplus

May be used to offset a deficit, distributed as cash dividends, or transferred to share capital Issuance of ordinary shares The difference between the consideration received or paid and the carrying amount of the subsidiaries’ net assets during actual disposal May only be used to offset a deficit Dividends unclaimed by shareholders that expired under the statute of limitations Share of changes in capital surplus of associates		December 31	December 31
		2021 $ 9,118 2,974 1,243 38 $ 13,373	2020 $ 9,118 2,974 1,243 25 $ 13,360

c. Retained earnings and dividend policy

Under the dividend policy as set forth in the Articles, where the Company made a profit in a fiscal year, the profit shall be first utilized for paying taxes, offsetting losses of previous years, setting aside as legal reserve 10% of the remaining profit (appropriation of earnings to legal reserve shall be made until the legal reserve equals the Company’s paid-in capital), setting aside or reversing special reserve in accordance with the laws and regulations, and then any remaining profit together with any undistributed retained earnings shall be used by the Company’s board of directors as the basis for proposing a distribution plan, which should be resolved in the shareholders’ meeting for distribution of dividends and bonus to shareholders. For the policies on distribution of compensation of employees and remuneration of directors and supervisors, refer to compensation of employees and remuneration of directors and supervisors in Note 17-d.

In accordance with the aforementioned Articles, the dividend policy is to distribute no less than 30% of the distributable earnings to shareholders each year in accordance with the Company’s current and future investment environment, capital requirements, domestic and foreign competition and capital budget, as well as the benefits of shareholders and the Company’s long-term financial planning. Dividends to shareholders may be paid in cash or in shares, with cash dividends paid at a rate of not less than 10% of the total dividends.

Appropriation of earnings to a legal reserve shall be made until the legal reserve equals the Corporation’s paid-in capital. The legal reserve may be used to offset deficit. If the Company has no deficit and the legal reserve has exceeded 25% of the Corporation’s paid-in capital, the excess may be transferred to capital or distributed in cash.

The appropriations of earnings for 2020 and 2019 approved in the shareholders’ meetings on July 22, 2021 and June 9, 2020, respectively, were as follows:

Legal reserve Cash dividends Cash dividends per share (NT$)	Appropriation of Earnings	Appropriation of Earnings	Appropriation of Earnings
	For the Year Ended		December 31
		2021 $ 39,789 $ 359,100 $ 5.7	2020 $ 8,593 $ 94,500 $ 1.5

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The appropriations of earnings for 2021, which were proposed by the Company’s board of directors on March 11, 2022, were as follows:

	Appropriation	Appropriation	Dividends Per	Dividends Per
	of	Earnings	Share	(NT$)
Legal reserve	$	13,741
Cash dividends		126,000	$	2

The appropriations of earnings for 2021 will be resolved by the shareholders in their meeting to be held on June 17, 2022.

d. Special reserve

When IFRSs were first adopted, the exchange differences on translation of financial statements of foreign operations were transferred to retained earnings in the amount of $58,226 thousand and a special reserve of the same amount was appropriated, and reduced proportionately by $90 thousand when the associate was disposed of in 2012. However, when IFRSs were adopted for the first time, the exchange differences on translation of financial statements of foreign operations of the Hong Kong subsidiary was transferred to retained earnings as a negative amount, so the special reserve of $1,611 thousand was appropriated due to the liquidation.

17. NET PROFIT

Information about net profit is as follows:

a. Other gains and losses

Gain on disposal of associate (Note 10) Net foreign exchange losses Financial assets mandatorily classified as at FVTPL Others	For the Year Ended	For the Year Ended	December 31
		2021 $ 60,221 (6,267) 168 (1,004) $ 53,118	2020 $ 231,173 (5,428) 182 (1,061) $ 224,866

b. Depreciation

Property, plant and equipment Investment properties An analysis of depreciation by function Operating costs Operating expenses	For the Year Ended December 31	For the Year Ended December 31	For the Year Ended December 31
		2021 $ 1,090 263 $ 1,353 $ 263 1,090 $ 1,353	2020 $ 1,208 263 $ 1,471 $ 263 1,208 $ 1,471

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c. Employee benefits expense

Short-term benefits Post-employment benefits (Note 15) Defined contribution plans Total employee benefits expense An analysis of employee benefits expense by function Operating expenses	For the Year Ended December 31	For the Year Ended December 31	For the Year Ended December 31
		2021 $ 15,240 385 $ 15,625 $ 15,625	2020 $ 23,762 363 $ 24,125 $ 24,125

d. Compensation of employees and remuneration of directors and supervisors

In accordance with the Articles, the Company accrued compensation of employees and remuneration of directors and supervisors at rates of no less than 1% and no higher than 3%, respectively, of net profit before income tax, compensation of employees, and remuneration of directors and supervisors. The compensation of employees and remuneration of directors and supervisors for the years ended December 31, 2021 and 2020 which have been approved by the Company’s board of directors on March 11, 2022 and March 22, 2021, respectively, were as follows:

Accrual rate

Compensation of employees Remuneration of directors and supervisors Amount Compensation of employees Remuneration of directors and supervisors	For the Year Ended December 31	For the Year Ended December 31	For the Year Ended December 31
	2021 2020 1.0% 1.0% 2.0% 2.0% For the Year Ended December 31
		2021 $ 1,451 $ 2,901	2020 $ 4,257 $ 8,514

If there is a change in the amounts after the annual financial statements are authorized for issue, the differences are recorded as a change in the accounting estimate.

The Company held a board of directors’ meeting on May 7, 2020, and the meeting resulted in the actual amounts of the compensation of employees and remuneration of directors and supervisors paid for 2019 to differ from the amounts recognized in the financial statements for the year ended December 31, 2019. The differences were adjusted to profit and loss for the year ended December 31, 2020.

Amounts approved in the board of directors’ meeting Amounts recognized in the annual financial statements	For the Year Ended December 31, 2019
	Remuneration of Directors and Supervisors $ 2,611 $ 1,741

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There was no difference between the actual amounts of the compensation of employees and remuneration of directors and supervisors paid and the amount recognized in the financial statements for the year ended December 31, 2020.

Information on the compensation of employees and remuneration of directors and supervisors resolved by the Company’s board of directors is available at the Market Observation Post System website of the Taiwan Stock Exchange.

18. INCOME TAXES

a. Income tax recognized in profit or loss

Major components of income tax expense are as follows:

Current tax In respect of the current year Adjustments for prior year Deferred tax In respect of the current year Income tax expense recognized in profit or loss	For the Year Ended December 31	For the Year Ended December 31	For the Year Ended December 31
		2021 $ 7,348 (21) 9,355 $ 16,682	2020 $ 11,101 - 2,615 $ 13,716

A reconciliation of accounting profit and income tax expense is as follows:

Profit before tax Income tax expense calculated at the statutory rate Tax-exempt income Additional income tax under the Alternative Minimum Tax Act Unrecognized loss carryforwards and deductible temporary differences Adjustments for prior years’ tax Taxes on income from mainland area Income tax expense recognized in profit or loss	For the Year Ended	For the Year Ended	December 31
		2021 $ 140,702 $ 28,141 (13,133) 5,196 (5,653) (21) 2,152 $ 16,682	2020 $ 412,952 $ 82,590 (46,873) 11,101 (33,102) - - $ 13,716

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b. Deferred tax assets and liabilities

The movements of deferred tax assets and deferred tax liabilities were as follows:

For the year ended December 31, 2021

Deferred tax assets Temporary differences Unrealized exchange loss Tax loss carryforwards Deferred tax liabilities Temporary differences Share of profit of subsidiaries and associates For the year ended December 31, 2020 Deferred tax assets Temporary differences Unrealized exchange loss Deferred tax liabilities Temporary differences Share of profit of subsidiaries and associates	Opening Balance Recognized in Profit or Loss Closing Balance $ 95 $ 182 $ 277 - 4,342 4,342 $ 95 $ 4,524 $ 4,619 $ 7,038 $ 13,879 $ 20,917 Opening Balance Recognized in Profit or Loss Closing Balance $ 358 $ (263) $ 95 $ 4,686 $ 2,352 $ 7,038

c. Unused loss carryforwards for which no deferred tax assets have been recognized in the balance sheets

Expiry in 2023 Expiry in 2024 Expiry in 2025 Expiry in 2030		December	31
		2021 $ - 12,706 38,757 8,445 $ 59,908	2020 $ 9,949 24,466 38,757 8,445 $ 81,617

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d. Information on unused loss carryforwards

Loss carryforwards as of December 31, 2021 comprised:

Unused Amount	Unused Amount	Expiry Year
$	9,949	2023
	24,466	2024
	38,757	2025
	8,445	2030
$	81,617

e. The aggregate amount of temporary differences associated with investments for which deferred tax liabilities have not been recognized

As of December 31, 2021 and 2020, the taxable temporary differences associated with investments in subsidiaries for which no deferred tax liabilities have been recognized were $84,266 thousand and $86,404 thousand, respectively.

f. Income tax assessments

The income tax returns through 2019 have been assessed by the tax authorities.

19. EARNINGS PER SHARE

The earnings and weighted average number of ordinary shares outstanding used in the computation of earnings per share were as follows:

Net Profit for the Year

Earnings used in the computation of basic and diluted earnings per share Weighted average number of ordinary shares used in the computation of basic earnings per share Effect of potentially dilutive ordinary shares Compensation of employees Weighted average number of ordinary shares used in the computation of diluted earnings per share	For the Year Ended	For the Year Ended	December 31
	2021 2020 $ 124,020 $ 399,236 (In thousands of shares) For the Year Ended December 31
		2021 63,000 56 63,056	2020 63,000 116 63,116

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The Company may settle the compensation of employees in cash or shares; therefore, the Company assumes that the entire amount of the compensation will be settled in shares, and the resulting potential shares are included in the weighted average number of shares outstanding used in the computation of diluted earnings per share, as the effect is dilutive. Such dilutive effect of the potential shares is included in the computation of diluted earnings per share until the number of shares to be distributed to employees is resolved in the following year.

20. FINANCIAL INSTRUMENTS

a. Fair value of financial instruments not measured at fair value

The management considers that the carrying amounts of financial assets and financial liabilities recognized in the financial statements approximate their fair values.

b. Fair value of financial instruments measured at fair value on a recurring basis

1) Fair value hierarchy

December 31, 2021 Financial assets at FVTOCI Investments in equity shares Domestic listed shares December 31, 2020 Financial assets at FVTPL Mutual funds Financial assets at FVTOCI Investments in equity shares Domestic listed shares	Level 1 $ 389,978 Level 1 $ 16,275 $ 183,696	Level 2 $ - Level 2 $ - $ -	Level 3 $ - Level 3 $ - $ -	Total $ 389,978
				Total $ 16,275
				$ 183,696

There were no transfers between Levels 1 and 2 for the years ended December 31, 2021 and 2020.

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c. Categories of financial instruments

Financial assets Financial assets at FVTPL Mandatorily classified as at FVTPL Financial assets at amortized cost (1) Financial assets at FVTOCI Equity instruments Financial liabilities Financial liabilities at amortized cost (2)	December 31
	2021 2020 $ - $ 16,275 348,209 525,333 389,978 183,696 8,316 16,715

1) The balances include financial assets at amortized cost, which comprise cash and cash equivalents, time deposit with original maturities of more than 3 months and other receivables.
2) The balances include financial liabilities at amortized cost, which comprise trade payables, other payables and guarantee deposits received.
d. Financial risk management objectives and policies

The Company’s major financial instruments include equity investments, mutual funds, trade receivables, trade payables and borrowings. The Company’s corporate treasury function provides services to the business, coordinates access to domestic and international financial markets, monitors and manages the financial risks relating to the operations of the Company through internal risk reports which analyze exposures by degree and magnitude of risks. These risks include market risk (including currency risk, interest rate risk and other price risk), credit risk and liquidity risk.

1) Market risk

The Company’s activities exposed it primarily to the financial risks of changes in foreign currency exchange rates (see (a) below), interest rates (see (b) below) and other price risk (see (c) below).

There had been no change to the Company’s exposure to market risks or the manner in which these risks were managed and measured.

a) Foreign currency risk

The carrying amounts of the Company’s foreign currency denominated monetary assets and monetary liabilities and derivatives exposed to foreign currency risk at the end of the year are set out in Note 24.

Sensitivity analysis

The Company was mainly exposed to the U.S. dollar.

34 -

Had the New Taiwan dollar (the functional currency) strengthened or weakened by 5% against the relevant foreign currencies, the Company’s pre-tax profit would have decreased or increased by $10,133 thousand and $11,474 thousand for the years ended December 31, 2021 and 2020, respectively. The sensitivity rate used when reporting foreign currency risk internally to key management personnel and represents management’s assessment of the reasonably possible change in foreign exchange rates is 5%. The sensitivity analysis included only outstanding foreign currency denominated monetary items, and adjusted their translation at the end of the reporting period for a 5% change in foreign currency rates.

b) Interest rate risk

The carrying amounts of the Company’s financial assets and financial liabilities with exposure to interest rates at the end of the reporting period were as follows:

Fair value interest rate risk Financial assets Cash flow interest rate risk Financial assets Sensitivity analysis	December 31
	2021 2020 $ 337,064 $ 434,931 11,081 88,725

The sensitivity analyses below were determined based on the Company’s exposure to interest rates for non-derivative instruments at the end of the year.

If interest rates had been 1% higher/lower and all other variables were held constant, the Company’s pre-tax profit for the years ended December 31, 2021 and 2020 would have increased/decreased by $111 thousand and $887 thousand, respectively.

c) Other price risk

The Company was exposed to equity price risk through its investments in equity securities and mutual fund.

Sensitivity analysis

If equity prices had been 5% higher/lower, pre-tax profit for the years ended December 31, 2020 would have increased/decreased by $814 thousand, as a result of the changes in fair value of financial assets at FVTPL, and the pre-tax other comprehensive income for the years ended December 31, 2021 and 2020 would have increased/decreased by $19,499 thousand and $9,185 thousand, respectively, as a result of the changes in fair value of financial assets at FVTOCI.

2) Credit risk

Credit risk refers to the risk that a counterparty will default on its contractual obligations resulting in a financial loss to the Company. At the end of the year, the Company’s maximum exposure to credit risk which would cause a financial loss to the Company due to the failure of the counterparty to discharge its obligation is the carrying amount of the financial assets as stated in the balance sheets.

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In order to minimize credit risk, the management of the Company has delegated a team responsible for determining credit limits, credit approvals and other monitoring procedures to ensure that follow-up action is taken to recover overdue debts. In addition, the Company reviews the recoverable amount of each individual trade debt at the end of the year to ensure that adequate allowance is made for possible irrecoverable amounts. In this regard, the management believes the Company’s credit risk was significantly reduced.

In addition, the credit risk is limited because the major counterparties are reputable financial institutions with good credit ratings.

The Company does not have significant credit risk exposure to any single counterparty or any group of counterparties with similar characteristics. When the counterparties are related companies, the Company defines them as counterparties with similar characteristics.

3) Liquidity risk

The Company manages liquidity risk by monitoring and maintaining a level of cash and cash equivalents deemed adequate to finance the Company’s operations and mitigate the effects of fluctuations in cash flows.

As of December 31, 2021 and 2020, the Company had available unutilized bank loan facilities set out in (b) below.

a) Liquidity and interest rate risk tables for non-derivative financial liabilities

The following table details the Company’s remaining contractual maturities for its non-derivative financial liabilities with agreed upon repayment periods. The table has been drawn up based on the undiscounted cash flows of financial liabilities from the earliest date on which the Company can be required to pay. The table includes both interest and principal cash flows. The maturity dates for other non-derivative financial liabilities were based on the agreed upon repayment dates.

December 31, 2021

	On Demand or	On Demand or
	Less than				3 Months to
	1	Month	1-3	Months		1 Year
Non-derivative financial liabilities
Non-interest bearing liabilities	$	1,966	$	1,444	$	4,703
December 31, 2020
	On Demand or
	Less than				3 Months to
	1	Month	1-3	Months		1 Year
Non-derivative financial liabilities
Non-interest bearing liabilities	$	1,819	$	1,598	$	13,122

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b) Financing facilities

Unsecured bank borrowing facilities Amount used Amount unused		December	31
		2021 $ - - $ -	2020 $ - 57,700 $ 57,700

21. TRANSACTIONS WITH RELATED PARTIES

Besides information disclosed elsewhere in the other notes, details of transactions between the Company and other related parties are disclosed as follows.

a. Related party name and categories:

Related Party Name Related Party Category Radiant Innovation Inc. Associate and same chairman Nvtek Electronic Co., Ltd. Associate Beijing Global View Cradle Technology Incubator Co., Ltd. Related party in substance Sunplus Technology Co., Ltd. Related party in substance Beijing Golden Global View Computer Technology Co., Ltd. Subsidiary

b. Operating revenue

Line Item Related Party Category/Name Sales Beijing Golden Global View Computer Technology Co., Ltd.	For the Year Ended December 31	For the Year Ended December 31	For the Year Ended December 31
		2021 $ 1,230	2020 $ 822

For significant transactions between the Company and its subsidiaries and related parties, the transaction prices and terms of payment and receipt are comparable to those of non-related parties.

c. Other income

Line Item Related Party Category/Name Other income Related party in substance Associate Radiant Innovation Inc. Nvtek Electronic Co., Ltd.	For the Year Ended December 31	For the Year Ended December 31	For the Year Ended December 31
		2021 $ 369 1,315 240 $ 1,924	2020 $ 120 48 240 $ 408

Other income mainly consists of remuneration income of directors and supervisors and income from administrative services.

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d. Remuneration of key management personnel

The remuneration of directors and other members of key management personnel was as follows:

Short-term employee benefits Post-employment benefits	For the Year Ended December 31	For the Year Ended December 31	For the Year Ended December 31
		2021 $ 4,557 - $ 4,557	2020 $ 10,991 45 $ 11,036

The remuneration of directors and key executives, as determined by the remuneration committee, is based on the performance of individuals and market trends.

22. ASSETS PLEDGED AS COLLATERAL OR FOR SECURITY

The following assets were provided as collateral for bank borrowings:

Property, plant and equipment, net		December	31
		2021 $ -	2020 $ 70,710

23. OTHER ITEMS

As of the date the financial statements were authorized for issue, the Company has concluded that the COVID-19 pandemic has no material impact on the Company’s ability to continue as a going concern, impairment of assets, and fundraising. The Company will continue to monitor and evaluate the impact of the COVID-19 on the aforementioned aspects.

24. SIGNIFICANT ASSETS AND LIABILITIES DENOMINATED IN FOREIGN CURRENCIES

The Company’s significant assets and liabilities denominated in foreign currencies aggregated by the foreign currencies other than the functional currencies of the entities in the Company and the related exchange rates between the foreign currencies and the respective functional currencies were as follows:

(In Thousands of New Taiwan Dollars and Foreign Currencies)

December 31, 2021

Foreign Currency Exchange Rate Financial assets Monetary items USD $ 7,322 27.68 (USD:NTD)	Carrying Amount $ 202,661

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December 31, 2020

Foreign Currency Exchange Rate Financial assets Monetary items USD $ 8,058 28.48 (USD:NTD)	Carrying Amount $ 229,479

The significant realized and unrealized foreign exchange gains (losses) were as follows:

Functional Currency NTD	For the Year Ended December 31	For the Year Ended December 31
	2021 Exchange Rate (Functional Currency: Presentation Currency) Net Foreign Exchange Gain (Loss) 27.68 (USD:NTD) $ (6,267)	2020
		Exchange Rate (Functional Currency: Presentation Currency) Net Foreign Exchange Gain (Loss) 28.48 (USD:NTD) $ (5,428)

25. SEPARATELY DISCLOSED ITEMS

a. Information about significant transactions:
1) Financing provided to others: None
2) Endorsements/guarantees provided: None
3) Marketable securities held (excluding investments in subsidiaries, associates and joint ventures): Table 1
4) Marketable securities acquired or disposed of at costs or prices of at least NT$300 million or 20% of the paid-in capital: None
5) Acquisition of individual real estate at costs of at least NT$300 million or 20% of the paid-in capital: None
6) Disposal of individual real estate at prices of at least NT$300 million or 20% of the paid-in capital: None
7) Total purchases from or sales to related parties amounting to at least NT$100 million or 20% of the paid-in capital: None
8) Receivables from related parties amounting to at least NT$100 million or 20% of the paid-in capital: None
9) Trading in derivative instruments: None
b. Information on investees (Table 2)
39 -
c. Information on investments in mainland China
1) Information on any investee company in mainland China, showing the name, principal business activities, paid-in capital, method of investment, inward and outward remittance of funds, ownership percentage, net income of investees, investment income or loss, carrying amount of the investment at the end of the year, repatriations of investment income, and limit on the amount of investment in the mainland China area (Table 3)
2) Any of the following significant transactions with investee companies in mainland China, either directly or indirectly through a third party, and their prices, payment terms, and unrealized gains or losses: None
d. Information of major shareholders: List all shareholders with ownership of 5% or greater showing the name of the shareholder, the number of shares owned, and percentage of ownership of each shareholder (Table 4)
40 -

TABLE 1

GLOBAL VIEW CO., LTD.

MARKETABLE SECURITIES HELD DECEMBER 31, 2021 (In Thousands of New Taiwan Dollars, Unless Stated Otherwise)

Holding Company Name	Type and Name of Marketable Securities (Note 1)	Relationship with the Holding Company	Financial Statement Account		December 31, 2021	December 31, 2021		Note
				Number of Shares	Carrying Amount	Percentage of Ownership (%)	Fair Value
Global View Co., Ltd. Beijing Golden Global View Computer Technology Co., Ltd.	Stocks Sunplus Technology Co., Ltd. Capital contribution certificate Beijing Global View Cradle Technology Incubator Co., Ltd.	Directors of the Company -	Financial assets at FVTOCI Financial assets at FVTOCI	10,038,049 Note 3	$ 389,978 -	2 10	$ 389,978 -

Note 1: The marketable securities mentioned in this table refer to stocks, bonds, beneficiary certificates, and marketable securities derived from aforementioned items within the scope of IFRS 9 “Financial Instruments”.

Note 2: For detailed information of investment in subsidiaries and associates, please refer to Table 2 and Table 3.

Note 3: The company is a limited company and therefore has no shares.

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TABLE 2

GLOBAL VIEW CO., LTD.

INFORMATION ON INVESTEES FOR THE YEAR ENDED DECEMBER 31, 2021 (In Thousands of New Taiwan Dollars, Unless Stated Otherwise)

Investor Company	Investee Company	Location	Main Businesses and Products	Original Investment Amount	Original Investment Amount	As of	December 31, 2021	December 31, 2021	Net Income (Loss) of the Investee	Share of Profit (Loss)	Note
				December 31, 2021	December 31, 2020	Number of Shares	%	Carrying Amount
Global View Co., Ltd. Global View Co., Ltd. (Cayman)	Global View Co., Ltd. (Cayman) Radiant Innovation Inc. Nvtek Electronic Co., Ltd. Global View Holdings Ltd.	Cayman Islands Taiwan Taiwan Independent State of Samoa	Investment Research, development, manufacture and sale of medical devices Research and development of electronic fidodarts machines Investment	US$ 5,250 81,353 80,468 US$ 5,250	US$ 5,250 95,995 80,468 US$ 5,250	5,250,000 7,633,820 10,043,013 -	100 18 43 100	$ 676,128 179,770 5,229 US$ 24,411	$ 80,228 112,473 (14,316) US$ 2,864	$ 80,228 23,411 (6,142) N/A	Subsidiary Associate Associate Subsidiary of Cayman

Note: Please refer to Table 3 for relevant information on the investees in mainland China.

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TABLE 3

GLOBAL VIEW CO., LTD.

INFORMATION ON INVESTMENTS IN MAINLAND CHINA FOR THE YEAR ENDED DECEMBER 31, 2021 (In Thousands of New Taiwan Dollars, Unless Stated Otherwise)

Investee Company	Main Businesses and Products	Paid-in Capital	Paid-in Capital	Method of Investment (Note 1)	Accumulated Outward Remittance for Investment from Taiwan as of January 1, 2021	Remittance of Funds	Remittance of Funds	Accumulated Outward Remittance for Investment from Taiwan as of December 31, 2021	Net Income (Loss) of the Investee	% Ownership of Direct or Indirect Investment	Investment Gain (Loss) (Note 2)	Carrying Amount as of December 31, 2021	Accumulated Repatriation of Investment Income as of December 31, 2021
						Outward	Inward
Beijing Golden Global View Computer Technology Co., Ltd.	Electronic products development and sale and asset management	$ 396,654 (US$ 14,330)		b.	$ 193,760 (US$ 7,000)	$ -	$ -	$ 193,760 (US$ 7,000)	$ 80,228 (US$ 2,864)	100	$ 80,228 (US$ 2,864)	$ 675,226 (US$ 24,394)	$ 21,518 (RMB 5,000)

Accumulated Outward Remittance for Investments in Mainland China as of December 31, 2021	Investment Amount Authorized by the Investment Commission, MOEA		Upper Limit on the Amount of Investments Stipulated by the Investment Commission, MOEA
$193,760 (US$7,000)	$407,726 (US$14,730)		$991,643 (Note 3)

Note 1: Methods of investment are classified as below:

a. Direct investment in mainland China.
b. Investment through company registered in a third region (Global View Holdings Ltd).
c. Other methods.
Note 2: The investment income (loss) recognized is based on the financial statements audited by the Company’s CPA.

Note 3: In accordance with the regulations “Principle of Investment or Technical Cooperation in Mainland China” amended on August 29, 2019, the allowable amount of investment in mainland China is 60% of net value.

Note 4: The New Taiwan dollar amounts shown in this table are translated at the exchange rate as of December 31, 2021.

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TABLE 4

GLOBAL VIEW CO., LTD.

INFORMATION OF MAJOR SHAREHOLDERS DECEMBER 31, 2021

Name of Major Shareholder	Shares	Shares
	Number of Shares	Percentage of Ownership (%)
Sunplus Technology Co., Ltd. Mr. Chou Chih Yuan Investment account of Preferred Investment Advisors (HK) Ltd. under the custody of CTBC Bank (Limited Discretionary Account)	8,229,457 6,558,527 4,438,395	13.06 10.45 7.04

Note 1: Major shareholders in the Table above are shareholders owning 5% or more of the Company’s common and preferred stocks (only those that have completed no physical registration and delivery) based on calculations performed by the Taiwan Depository & Clearing Corporation using data as of the last business day at the end of each quarter. The amount of capital in the financial statements may differ from the Company’s actual number of stocks that have completed no physical registration and delivery due to different calculation bases.
Note 2: Where the stocks are entrusted by shareholders, information is disclosed by the individual account of settler who has segregated trust accounts opened by trustees. For shareholders with insider shareholdings of 10% or more of the Company’s stocks pursuant to the securities and exchange laws and regulations, the number of stocks owned shall be those owned by the persons plus the entrusted shares where the shareholders have the power to decide how to utilize the trust property. Please access the Market Observation Post System website for information on insiders’ shareholding filings.
44 -

GLOBAL VIEW CO., LTD

THE CONTENTS OF STATEMENTS OF MAJOR ACCOUNTING ITEMS

Item
Major Accounting Items in Assets, Liabilities and Equity
Statement of cash and cash equivalents
Statement of financial assets at amortized cost
Statement of financial assets at fair value through other comprehensive income
Statement of changes in investments accounted for using the equity method
Statement of changes in property, plant and equipment
Statement of changes in accumulated depreciation of property, plant and equipment
Statement of changes in investment properties
Statement of changes in accumulated depreciation of investment properties
Statement of deferred tax assets
Statement of deferred tax liabilities
Major Accounting Items in Profit or Loss
Statement of cost of goods sold
Statement of salary and labor expenses
Statement of operating expenses

Statement Index

Statement 1
Note 9
Statement 2
Statement 3
Note 11
Note 11
Note 13
Note 13
Note 18
Note 18
Statement 4
Statement 5
Statement 6

45 -

STATEMENT 1

GLOBAL VIEW CO., LTD.

STATEMENT OF CASH AND CASH EQUIVALENTS DECEMBER 31, 2021 (In Thousands of New Taiwan Dollars, Unless Specified Otherwise)

Item Description Cash on hand Demand deposits Checking accounts and demand deposits Foreign currency deposits The amount is mainly US$21 thousand, at an exchange rate of NT$27.68 to US$1	Amount $ 50 10,484 597
	$ 11,131

46 -

STATEMENT 2

GLOBAL VIEW CO., LTD.

STATEMENT OF FINANCIAL ASSETS AT FAIR VALUE THROUGH OTHER COMPREHENSIVE INCOME DECEMBER 31, 2021

(In Thousands of New Taiwan Dollars, Except for the Par Value and Unit Price Per Share)

Number of Shares (In Holding Company Name Thousands) Par Value Stocks Sunplus Technology Co., Ltd. 10,038 $10	Carrying Acquisition Amount Costs $ 389,978 $ 1,033	Fair Value Unit Price Total Note $38.85 $ 389,978 Note
		Unit Price $38.85

Note: The market price of listed stocks is based on the closing price on the open market on December 31, 2021.

47 -

STATEMENT 3

GLOBAL VIEW CO., LTD.

STATEMENT OF CHANGES IN INVESTMENTS ACCOUNTED FOR USING THE EQUITY METHOD FOR THE YEAR ENDED DECEMBER 31, 2021 (In Thousands of New Taiwan Dollars, Unless Specified Otherwise)

Balance, January 1, 2021 Increase Decrease Equity Investee Company Number of Shares (In Thousands) Amount Number of Shares (In Thousands) Amount Number of Shares (In Thousands) Amount Method Adjustment Amount Global View Co., Ltd. (Cayman) 5,250 $ 620,951 - $ - - $ - $ 55,177 Radiant Innovation Inc. 9,008 269,877 - - 1,374 44,492 (45,615) Nvtek Electronic Co., Ltd. 10,043 11,379 - - - - (6,150) $ 902,207 $ - $ 44,492 $ 3,412 Note: Including: (1) Share of profit of subsidiaries and associates $ 97,497 (2) Exchange differences on translation of the financial statements of foreign operations (3,533) (3) Share of the other comprehensive income of subsidiaries and associates accounted for using the equity method 7,291 (4) Dividends received from subsidiaries and associates (97,856) (5) Changes in equity of associates accounted for using equity method 13 $ 3,412	Balance, December 31, 2021 Number of Shares (In Thousands) % Amount 5,250 100 $ 676,128 7,634 18 179,770 10,043 43 5,229 - $ 861,127	Net Assets Value Note $ 676,128 188,257 12,740 $ 877,125
	Number of Shares (In Thousands) % 5,250 100 7,634 18 10,043 43 -

48 -

STATEMENT 4

GLOBAL VIEW CO., LTD.

STATEMENT OF COST OF GOODS SOLD FOR THE YEAR ENDED DECEMBER 31, 2021 (In Thousands of New Taiwan Dollars)

Item Cost of goods sold Raw materials, beginning of year Raw materials purchased Raw materials, end of year Rental cost Operating cost	Amount $ - 1,140 -
	1,140 302
	$ 1,442

49 -

STATEMENT 5

GLOBAL VIEW CO., LTD.

STATEMENT OF SALARY AND LABOR EXPENSES FOR THE YEAR ENDED DECEMBER 31, 2021 (In Thousands of New Taiwan Dollars)

	Selling and	General and	Research and
	Marketing	Administrative	Development
Item	Expenses	Expenses	Expenses
Salary and wage and pension expenses	$ 210	$ 14,084	$ -
Labor cost	-	2,146	120
Others (Note)	148	3,840	-
	$ 358	$ 20,070	$ 120

Note: The amount of each item in others does not exceed 5% of the account balance.

50 -

STATEMENT 6

GLOBAL VIEW CO., LTD.

STATEMENT OF OPERATING EXPENSES FOR THE YEARS ENDED DECEMBER 31, 2021 AND 2020 (In Thousands of New Taiwan Dollars)

Employee benefits expense Salary and wage Labor and health insurance Pension Remuneration of directors Others Depreciation expense	2021	Total $ 11,008 1,012 385 2,901 319 $ 15,625 $ 1,353	2020
	Operating Costs Operating Expense $ - $ 11,008 - 1,012 - 385 - 2,901 - 319 $ - $ 15,625 $ 263 $ 1,090		Operating Costs Operating Expense $ - $ 13,306 - 745 - 363 - 9,385 - 326 $ - $ 24,125 $ 263 $ 1,208	Total $ 13,306 745 363 9,385 326 $ 24,125 $ 1,471

Note 1: As of December 31, 2021 and 2020, the Company had 16 and 15 employees, respectively. There were 5 and 6 non-employee directors, respectively.
Note 2: The Company’s average expenses of employee benefits were NT$1,157 thousand and NT$1,638 thousand for the years ended December 31, 2021 and 2020, respectively.
Note 3: The Company’s average expenses of employees’ salaries and wages were NT$1,001 thousand and NT$1,478 thousand for the years ended December 31, 2021 and 2020, respectively.
Note 4: The average adjustment of employees’ salary and wage expenses is (32%).
Note 5: The Company set up an audit committee to replace the supervisors in accordance with the Securities and Exchange Act.
Note 6: The Company’s remuneration policy are as follows (including directors, audit committee, managers, and employees):

The remuneration of the directors and supervisors of the Company is determined individually based on their participation in the Company’s operations and the value of their contributions, and with reference to industry standards. The remuneration of managers shall be in accordance with the Company’s internal payroll regulations. In accordance with the Company’s Articles of Incorporation, if the Company makes profit, the Company shall contribute not less than 1% of the net profit before tax to the remuneration of employees and not more than 3% to the remuneration of directors and supervisors.

51 -

AI assistant

G.V. — Audit Report / Information 2021

52272_rns_2021-11-10_3ec275b7-05a5-4e3f-bde5-6dba15cfbb75.pdf

Global View Co., Ltd.

INDEPENDENT AUDITORS’ REPORT

Opinion

Basis for Opinion

Key Audit Matters

- Subsidiary accounted for using the equity method Recognition of rental revenue

Responsibilities of Management and those Charged with Governance for the Financial Statements

Auditors’ Responsibilities for the Audit of the Financial Statements

Notice to Readers

GLOBAL VIEW CO., LTD.

BALANCE SHEETS DECEMBER 31, 2021 AND 2020 (In Thousands of New Taiwan Dollars)

GLOBAL VIEW CO., LTD.

STATEMENTS OF COMPREHENSIVE INCOME FOR THE YEARS ENDED DECEMBER 31, 2021 AND 2020 (In Thousands of New Taiwan Dollars, Except Earnings Per Share)

GLOBAL VIEW CO., LTD.

STATEMENTS OF COMPREHENSIVE INCOME FOR THE YEARS ENDED DECEMBER 31, 2021 AND 2020 (In Thousands of New Taiwan Dollars, Except Earnings Per Share)

GLOBAL VIEW CO., LTD.

STATEMENTS OF CHANGES IN EQUITY FOR THE YEARS ENDED DECEMBER 31, 2021 AND 2020 (In Thousands of New Taiwan Dollars)

GLOBAL VIEW CO., LTD.

STATEMENTS OF CASH FLOWS FOR THE YEARS ENDED DECEMBER 31, 2021 AND 2020 (In Thousands of New Taiwan Dollars)

GLOBAL VIEW CO., LTD.

STATEMENTS OF CASH FLOWS FOR THE YEARS ENDED DECEMBER 31, 2021 AND 2020 (In Thousands of New Taiwan Dollars)

GLOBAL VIEW CO., LTD.

1. GENERAL

2. APPROVAL OF FINANCIAL STATEMENTS

3. APPLICATION OF NEW, AMENDED AND REVISED STANDARDS AND INTERPRETATIONS

4. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

Statement of Compliance

Basis of Preparation

Classification of Current and Non-current Assets and Liabilities

Foreign Currencies

Investments in Subsidiaries

Investments in Associates

Property, Plant and Equipment

Investment Properties

Impairment of Property, Plant and Equipment, and Investment Properties

Financial Instruments

Financial assets

Financial liabilities

Revenue Recognition

Revenue from the sale of goods

Leases

The Company as lessor

The Company as lessee

Employee Benefits

Taxation

5. CRITICAL ACCOUNTING JUDGMENTS AND KEY SOURCES OF ESTIMATION UNCERTAINTY

Critical Accounting Judgments

Significant influence over associates

Key Sources of Estimation Uncertainty

Income taxes

6. CASH AND CASH EQUIVALENTS

7. FINANCIAL ASSETS AT FAIR VALUE THROUGH PROFIT OR LOSS

8. FINANCIAL ASSETS AT FAIR VALUE THROUGH OTHER COMPREHENSIVE INCOME

9. FINANCIAL ASSETS AT AMORTIZED COST

10. INVESTMENTS ACCOUNTED FOR USING THE EQUITY METHOD

Investments in Subsidiary

Investments in Associates

Radiant Innovation Inc.

11. PROPERTY, PLANT AND EQUIPMENT

12. LEASE ARRANGEMENTS

Other Lease Information

13. INVESTMENT PROPERTIES

14. OTHER PAYABLES

15. RETIREMENT BENEFIT PLANS

Defined Contribution Plan

16. EQUITY

b. Capital surplus

17. NET PROFIT

c. Employee benefits expense

Accrual rate

18. INCOME TAXES

For the year ended December 31, 2021

19. EARNINGS PER SHARE

Net Profit for the Year

20. FINANCIAL INSTRUMENTS

Sensitivity analysis

b) Interest rate risk

G.V. Audit Report / Information 2021