Which of the following statements about financial reporting standards is least accurate? Reporting standards:
A) |
narrow the range within which management estimates can be seen as reasonable. | |
B) |
are disclosed on Form 8K by publicly traded firms in the United States. | |
C) |
ensure that the information is “useful to a wide range of users.” | |
Reporting standards ensure that the information is “useful to a wide range of users,” including security analysts, by making financial statements comparable to one another and narrowing the range within which management’s estimates can be seen as reasonable. Securities & Exchange Commission Form 8K addresses acquisitions, divestitures, etc. and not reporting standards. |