Financial Statements That Do Not Include Interpretation and Explanation by Management

question 112

Multiple Choice

Financial statements that do not include interpretation and explanation by management are in violation of which GAAP principle?

• A) principle of sincerity
• B) principle of continuity
• C) principle of full disclosure
• D) principle of regularity
• E) principle of prudence

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Definitions:

Sum

The result of adding two or more numbers or quantities together.

Product

The result of multiplying two or more quantities together.

Gigabytes

A unit of digital information storage equal to 1,024 megabytes or roughly one billion bytes.

Megabytes

A unit of data measurement equal to 1024 kilobytes or 1,048,576 bytes, often used to quantify digital information.