Full Disclosure in Financial Reporting - 2022 (Text Based)

The full disclosure principle, one of the major accounting principles, requires that information provided in financial statements be sufficiently complete to avoid misleading users of the reports by omitting significant facts of information. The full disclosure principle also refers to revealing information that would be useful in the decision-making processes of informed users. This course discusses the disclosures required of companies, including those related to accounting policies, long-term purchase contract obligations, segmental information, related parties, risks and uncertainties, and interim financial reporting. This course also provides real-world examples to illustrate the application.

Learning Objectives:

1. Recognize the full disclosure principle and its implementation

2. Identify information disclosed in the summary of significant accounting policies

3. Recognize common disclosures relating to accounting policies (e.g., revenue recognition, hedges)

4. Identify disclosure requirements for the subsequent events, major business segments, related party transactions, risks and uncertainties, and interim financial reporting