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In last week’s first Discussion, you located a public company’s financial statements and discussed its accounting standards. For this Application, return to those financial statements and use what you have learned in your readings this week to analyze the company’s method of reporting. Does it provide enough information for the reader?
On the FASB website, locate Concepts Statement No. 5 by clicking “Concepts Statements,” and then “Concepts Statement No. 5.”
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In at least 250 words, address the following questions:
- What method of reporting is prescribed in Concept Statement No. 5?
- What additional information for users do the notes to the financial statements provide, that is not provided in the financial statements?