Disclosure and Financial Reporting - Essay Example

Only on StudentShare

Extract of sample
Disclosure and Financial Reporting

It also helps the other market players to decide on mergers and acquisitions. Through disclosure of financial statements, the companies also endorse the financial information that has been sent to their regulating authorities like Securities and Exchange Commission (SEC). It is important to understand the key issues that affect the financial decisions of managers in disclosures and financial reporting. In this essay, the changes in regulations and standards that have improved the method of financial reporting and disclosure and the subsequent impacts on a company in terms of future cost, risk exposure and profits are being discussed. Several laws have been enacted and acts have been passed in different countries with the objective of making financial reporting and its disclosures more reliable and trustworthy. The objective of addressing the key issues is to ensure and protect the interest of the stakeholders and investors. One such act that addressed these issues is Sarbanes-Oxley Act. It was first implemented for companies listed in NYSE and has now been spread all over the world. Sarbanes-Oxley Act has redefined and changed the ways of Corporate Governance of companies leading to efficient and transparent operations (Ambler, Massaro and Stewart, 2005, p.38). ...
Download paper


Disclosure and Financial Reporting Introduction The activities of a company and stakeholders are published in the financial statements which are formed by financial reporting in the form of Balance sheet, Income statement, cash-flow statement and accompanying notes…
Author : swhite

Related Essays

The Impact of Corporate Governance Disclosure on the Financial Reporting Practices in a Developing Country: Saudi Arabia.
36 pages (9036 words) Dissertation
Financial Reporting and Analysis
8 pages (2008 words) Essay
Interim Financial Reporting
8 pages (2008 words) Essay
Financial Reporting Assignment
9 pages (2259 words) Assignment
Advanced financial reporting
12 pages (3012 words) Essay
Financial Instruments disclosure
48 pages (12048 words) Dissertation
Financial Reporting
6 pages (1506 words) Coursework
Got a tricky question? Receive an answer from students like you! Try us!