Full Disclosure

Accounting statements should disclose fully and completely all the significant information to enable users to take informed decisions.

 What is the full disclosure principle

To be useful to users, financial statements must present relevant information. Much of the financial information is contained in the balance sheet, income statement and cash flow statement. However, other relevant information such as nature of business, future plan, shareholding patterns, production capacities, contingencies and commitments etc. must also be included with the financial statements.

Historical Cost Convention

One thought on “Full Disclosure”

  1. Yiimp Pool says:

    good article very hopeful

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