Disclosures Related On Products And Services

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Publicly traded companies are subject to the reporting and disclosure requirements of the Securities Exchange Commission (SEC). The laws that govern the securities industry were established to provide transparency to investors, creditors and shareholders alike. According to Hoyle, Schaefer & Doupnik, (2015) there are seven major disclosure requirements, the first being a five-year summary of operations to encompass sales, assets, income from continuing operations. Followed by a description of business activities, a three year summary of industry segments to include foreign and domestic operations, a list of company directors and executives, quarterly market price of common stock for the last two years, restrictions on the company’s ability to continue paying dividends, and finally, an analysis of the company’s financial condition, changes in the conditions and results of operation.

There are large and small businesses all across the country, with many different public and private accounting firms that handle their accounts. Many of these businesses are raking in millions and millions of dollars a year. Wal-Mart is one of them. We will be exploring Wal-Mart and how it came about as a business, along with examining their balance sheets, income statement, and the cash flow statement. We will also be taking a look at what Wal-Mart’s current revenues are over the annual reporting periods, and who handles their accounting process.

In accounting there is much to be learned, about the financial aspects of a business. In the past five weeks I have learned the importance of financial reports and how they relate to the success of an establishment. These reports may include balance sheets and income statements, which help accountants and the public grasp the overall financial condition of a company. The information in these reports is really significant to, managers, owners, employees, and investors. Managers of a business can take and deduce financial

Walmart requires honest and accurate reporting of financial information. All financial records and accounts must accurately reflect financial transactions and events. They must conform to GAAP and to Walmart’s internal controls. No Walmart document or record may be falsified and no undisclosed account of their assets can be established (Walmart 6).

Operating Segments: Improving Disclosure From the Bottom Up. (2011, November). Retrieved January 30, 2013, from PWC: http://www.pwc.com/gx/en/audit-services/publications/corporate-reporting/investor-view/operating-segments-improving-disclosure-from-bottom-up.jhtml

The cause of poor transparency, however, is less important than its effect on a company 's ability to give investors the critical information they need to value their investments. If investors neither believe nor understand financial statements, the performance and fundamental value of that company remains either irrelevant or distorted. Mounting evidence suggests that the market gives a higher value to firms that are upfront with investors and analysts. Transparency pays, companies with fuller disclosure win more trust from investors. Relevant and reliable information means less risk to investors and thus a lower cost of capital, which naturally translates into higher valuations. Of course, there are two ways to interpret this evidence. One is that the market rewards more transparent companies with higher valuations because the risk of unpleasant surprises is believed to be lower. The other interpretation is that companies with good results usually release their earnings earlier. Companies that are doing well have nothing to hide and are eager to publicize their good performance. It is in their best

TL;DR - The FTC wants affiliates to to disclose their incentive-based relationships to their audience in a "clear and conspicuous" manner. Something to consider for BlackFriday.com

. Texas laws state that buyers and sellers needs are different when it comes to buying or selling property (Willis, 2016). Wills stated that most seller want to sell their property “as is” with no warranties. They do not want to be liable for any type of repairs or obligations once the real estate is sold.

This paper will analyze these views as they apply to the discloser of segment information for public entities as required by topic 280 of the FASB accounting standards codification, and discussed in Statement of Financial Standards No. 131 (“SFAS 131). The paper is structured as follows: Section II provides an overview of the objective and general purpose of financial reporting and the qualitative characteristics off useful financial information as determined by the Financial Accounting Standards Board (“FASB”), section III introduces the concept of segment reporting and outlines the requirements for disclosures of segment information for public companies, section IV evaluates the relevance of

Wal-Mart recognizes revenues at the time the sale is made to the customer. Wal-Mart’s method of accounting for revenues differs from its competitor, Target in some instances. For example, Target does not include sales tax in total revenues; whereas Wal-Mart

(Wal-Mart, 2005) Wal-Mart treats each of its different divisions as separate companies. The Wal-Mart Corporation consists of Wal-Mart stores, Sam’s Club, Wal-Mart International, and Walmart.com. Each of these entities is a separate company that is not dependent on the other. As such the success of the initial start up of the companies is not based on how well or poorly the corporation is doing.

Why would companies choose to disclose Intellectual Capital information in the narrative sections of corporate annual reports?

The article discusses that in 1976 the U.S. Supreme Court ruled in one case that omitted financial statement information altering a reasonable investor’s decision proves the material nature of the information. The article continues by describing that lower courts earlier ruled that all financial information whether material or not must have full disclosure in a company’s financial statements. The rejection of the lower courts’ ruling by the U.S. Supreme Court gives the investor the ability to focus on the aspects of the financial statements that are most important by allowing the elimination of minute details (Sauer 2007, 317-357). In essence, this ruling allows for the elimination of financial information below the determined materiality threshold unless otherwise required by the ruling of a regulatory body.

The reason for this kind reporting is largely due to the nature of their main capital provider, the bank. The bank is not necessarily concerned with their positive future outlook, they are likely more concerned with their debt to income ratio, equity, and liabilities. This kind of accounting information gives a better estimate if the company will be able to sufficiently meet their new obligation in the form of bank financing.