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Business firms, particularly those with stockholders, must prepare honest and conservative financial statements.
Wiki User
∙ 13y ago
Wiki User
∙ 13y agoUltimately it's down to the directors, it is their responsibility to hire someone to record and prepare the statements or outsource it to an accounting firm.
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What is the steps to prepare consolidared financial statements?
Prfit and lost
Prepare financial statements directly from an adjusted trial balance?
Yes
What organization governs the guidelines a CPA will use to prepare financial statements?
name the organization that governs the majority of the guidelines that the CPA will use to prepare the financial stetments
The ledger that contains all accounts needed to prepare financial statements is the?
source document
Involves the review and evaluation of the records that are used to prepare the organization's financial statements?
auditing
Short note on accounting policies?
They are specific procedures used by a company to prepare its financial statements.
Why is it necessary to prepare the formal financial statements if all the data are on the adjusted trail balance?
Yes! The adjusted trial balance is the first step in preparing the financial statements. As that is done, completing the financial statements are relatively easy. The trial on it's own is difficult for people to understand.
Is it possible to prepare financial statements without the help of trial balance under accounting for incomplete records?
no
Usefulness of accounting theory to practicing accountant?
it is useful in guiding them to prepare and understand the financial statements and report
How often do publicly traded corporations typically prepare financial statements for external reporting purposes?
quartwly
Must audited financial statements be signed by the auditor?
Yes audited financial statements are jointly signed by auditors as well as management of company as an acknowledgment.
When is the income statement prepare?
Usually at the end of the financial period. It depends on the regulations of the country as well. In Singapore, companies are required to submit financial statements quarterly.
