The accounting duration shall adopt the calendar year as its financial year. However, if there are any special needs in operation, and it has been approved by the central governing authority, such limitation shall be exempted.

The accounting basis of the system operator shall be on the accrual basis.
The accrual basis referred to in the previous paragraph denotes that the revenue shall be recognized as such when the system operator becomes eligible to collect it and that the expense shall also be recognized as such when the system operator becomes liable to pay it, then these would be immediately recorded. At the time of closing, revenues and expenses shall be attributed to their fiscal year through the adjustment of the entries.
The “eligible to collect” in the previous paragraph shall refer to the compliance of the supplied goods or service with the following situation:
Has been realized or to be realized.
Has been earned.
Operating costs and individual expenses of the system operator shall match with the operating revenue obtained and collectively recognized in the same accounting duration. If the revenue has been realized and the relevant expense has not happened, they shall be estimated and recognized in a reasonable way; if the expense has happened, and the economic effectiveness has not be exhausted, it shall be listed as a prepaid payment.

The accounting system’s content of the system operator shall be as follows:
A general description of the accounting system.
Journals and ledgers.
The set-up and usage of the accounting items, accounting documents, accounting books and accounting reports.
Standards and procedures of general accounting.
Standards and procedures of cost accounting.
The relevant procedures or regulations concerning the sales, purchases, collections, and payments which are necessary for management
Other necessary items.

The general description of the system operator’s accounting system shall include the meaning, purpose, implementation range, and main points of the content.

The journals and ledgers of the system operator’s accounting system shall summarize the original documents, accounting documents, journal book, general ledger, subsidiary ledger, necessary auxiliary book, and all types of the various accounting reports（including detail tables）, and explain their interrelationships.
The journals and ledgers system in the previous paragraph shall be explained by the journals and ledgers chart.

The accounting items of the system operator’s accounting system shall explain the contents, installation, classification, and numbering principles.
The rules governing the installation of the accounting items in the system operator’s accounting system shall be publicized by the central governing authority.

If any accounting event of the system operator occurs, the accounting documents which are evidential shall be obtained, given, or drafted.
The rules governing the installation and use of the accounting documents for the cable radio and television system operator shall be further promulgated by the central governing authority.

The accounting books in the system operator’s accounting system shall contain the journal book, general ledger, subsidiary ledger, subscribers’ ledger, inventory ledger, occupancy equipment ledger, fixed asset ledger, and other accounting books which are necessary for the business needs.

The accounting reports in the system operator's accounting system shall contain the balance sheet, income statement, statement of change in shareholder equity, cash flow statement, and any remarks or attachments, and it shall be handled according to "Regulations Governingthe Preparation of Financial Reports by Securities Issuers" by Financial Supervisory Commision.

If the system operator uses the computer to handle the procedure in its accounting information, it shall be handled according to "Regulations on Businesses Electronically Processing the Accounting Data" by Ministry of Economic Affairs.

The standards and procedures of general accounting of the system operator shall be handled by the generally accepted accounting standards issued by the Accounting Research and Development Foundation.

The standards and procedures of cost accounting of the system operator shall contain cost account items, documents, or certificates, procedure of cost accumulation, method of cost allocation, and cost accounting reports.
The adoption of the standards and procedures of cost accounting in the previous paragraph shall be the same in the previous and following years. If there are any changes, they shall be deemed as the revision of the accounting system.
Cost allocation and other relevant cost records shall be stored according to the relevant laws and regulations for the inspection of the central governing authority.