Full, fair and adequate disclosure, Financial Management

Full, Fair and Adequate Disclosure

The architecture of business has evolved from proprietorship to partnership to joint stock companies or publicly held companies. Except from this in most of the companies the public has important interest and stakes. Further to the stake of the general public the organizations borrow from banks, government, creditors, etc.

In case of professionally managed companies there is a divorce among the management & owners of the business that is owners entrust the responsibility of running the business on professional managers.  In nutshell for the several stakeholders of the business the only source of information is the financial statement prepared through the managers of the business. Thus, it is essential that important material information is disclosed and financial statements are honestly prepared in conformity with commonly accepted accounting principles (GAAP).  Adhering to GAAP ensures full, fair and adequate disclosure of business transactions in financial report.

Posted Date: 2/6/2013 12:51:32 AM | Location : United States







Related Discussions:- Full, fair and adequate disclosure, Assignment Help, Ask Question on Full, fair and adequate disclosure, Get Answer, Expert's Help, Full, fair and adequate disclosure Discussions

Write discussion on Full, fair and adequate disclosure
Your posts are moderated
Related Questions
Write a report to the Board of Directors of Solvent Ltd to analyse the performance of companies X and Y and to give recommendation as which of those two investment opportunities is

If the issuer company is taken over, then the bondholders are likely to suffer. It is due to lowering of the stock prices in the market as a post takeover effect.

1) According to the IFE (RIP), if U.S. investors expect a 3% rate of domestic inflation over one year, and a 6% rate of inflation in European countries that use the EUR, and requir

How competitive is the market for banking services? A: With above 7,000 banks and thrifts in the U.S., banking is one of the so many competitive industries in the world. Refer

PRC Company, a retailer of baby clothes and toys, has been in existence for 20 years. Its approach to strategy has tended to be informal and emergent rather than planned. However,

Q. Cost of Redeemable Preference Share Capital? Cost of Redeemable Preference Share Capital: - Redeemable preference capital has to be returned to the preference shareholders s

Q. Graphic Presentation of Net Operating Income Approach ? Graphic Presentation of NOI (Net Operating Income) Approach: - NOI (Net Operating Income) approach is explained graph

A. Joe wants to invest in Nebraska Municipal 6% GOB that are rated AA. Joe's tax rate is usually between 28% .  GE plans to sell AA rated 8% coupon bonds. Compute Joe's after-tax i

Examine the difference between Explicit Cost and Implicit Cost Cost of capital can be either implicit cost or explicit. Explicit cost of any source of capital is the discount r

1. Your welfare depends on how much time you travel T and how much time you play P and is the product of the two, i.e.,  W = T * P (a) The total amount of time you have is 10 ho