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Full Disclosure Paper - Full Disclosure 1 Full Disclosure...

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Full Disclosure 1 Full Disclosure Paper Cheryl L. White University of Phoenix
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Full Disclosure 2 Full Disclosure Paper Full disclosure in financial reporting is not only important but required by federal agencies that monitor companies financial reporting. Full disclosure principle established the requirements that were issued to companies to disclose information that is not specifically reported in statements issued. Full disclosure has increased substantially in the last 10 years due to certain activities that have resulted in negative affects to not only the business but to its stakeholders and the general public. Thus the need for full disclosure, not only the need but it is required by publicly held companies. The consequences of failing to fully disclose information in the financial reports can be quite severe. The full disclosure principle in accounting is requires companies to disclose information such as lawsuits, incomplete transactions and/or other conditions that may have an effect on the company’s financial status. (cliffnotes.com, 2009). Full disclosure is written as footnotes within the financial reports. Footnotes in financial statements convey this information and describe the policies the company used to record and report the
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