financial reporting
Publishing company numbers
Financial reporting is the process of preparing and presenting formal statements about an organization's financial performance and position.
Companies produce financial reports—balance sheets, income statements, cash flow statements—to inform investors, regulators, and other stakeholders.
The company's financial reporting revealed declining profits.
Public companies face strict financial reporting requirements.
Financial reporting conventions
- SECStock market regulator
- regulationsEnforced rules and standards
- Sarbanes-OxleyCorporate governance reform law
- filingStoring documents systematically
standards · requirements · disclosure · enforcement · controls · certification · statutes · legislation
Formal accounts examination
- CPALicensed accounting professional
- attestationFormal declaration confirming truth
- assuranceFirm promise or certainty
- external auditorOutside financial records examiner
internal controls · materiality · opinion · findings · discrepancies · fraud detection · due diligence · forensic accounting
Act of revealing information
- clarityState of being understandable
- opennessQuality of being accessible
- understandabilityEase of being grasped
- accessibilityEase of approach
footnotes · plain language · readability · explanatory notes · investor relations · pro forma · reconciliation
Agent bound by loyalty
- governanceHow authority is exercised
- oversightSupervision or inadvertent omission
- stewardshipResponsible care of entrusted things
- internal controlsOrganizational oversight procedures
ethics · responsibility · integrity · audit committee · whistleblower · clawback · duty of care · corporate governance
GAAP
Financial reporting conventions
- SECStock market regulator
- regulationsEnforced rules and standards
- Sarbanes-OxleyCorporate governance reform law
filing · standards · requirements · disclosure · enforcement · controls · certification · statutes · legislation · 10-K
audit
Formal accounts examination
- CPALicensed accounting professional
- attestationFormal declaration confirming truth
- assuranceFirm promise or certainty
external auditor · internal controls · materiality · opinion · findings · discrepancies · fraud detection · due diligence · forensic accounting · verification
disclosure
Act of revealing information
- clarityState of being understandable
- opennessQuality of being accessible
- understandabilityEase of being grasped
accessibility · footnotes · plain language · readability · explanatory notes · investor relations · pro forma · reconciliation
fiduciary
Agent bound by loyalty
- governanceHow authority is exercised
- oversightSupervision or inadvertent omission
- stewardshipResponsible care of entrusted things
internal controls · ethics · responsibility · integrity · audit committee · whistleblower · clawback · duty of care · corporate governance
- budgetingbudget, budgets, budget app, budget template, budget allocation
- accountingbookkeeping, ledger, balance sheet, general ledger, accounts payable
- business accountingaccounts payable, accountant, accounts receivable, accounts, accrual
- Business MediaWall Street Journal, Forbes, Reuters, Bloomberg, CNBC
- complianceaudit, obeying, policy, compliance officer, regulation
- Disclosuresdisclosures, annual reports, quarterly reports, earnings reports, audit reports
financial reportingcooking the books
Manipulating financial statements illegally
accounting fraud · non-disclosure · money laundering · creative accounting · tax evasion
report, finance, reporting, finances, financial, financing, financed, financier, financially