Many multinational companies find it beneficial to have their shares listed on stock exchanges in foreign countries. In order to do this, they must comply with the securities laws of those countries. Some of these laws relate to the form of financial disclosure the company must provide, including disclosures related to contingent liabilities. This exercise investigates the Tokyo Stock Exchange, the largest stock exchange in Japan.

Address: www.tse.or.jp/english/, or go to www.wiley.com/college/kimmel Steps 1. Choose About TSE.

2. Choose History of TSE. Answer questions

(a) and (b).

3. Choose Listed Company information.

4. Choose Disclosure. Answer questions

(c) and (d).

5. Answer the following questions.

(a) When was the first stock exchange opened in Japan? How many exchanges does Japan have today?

(b) What event caused trading to stop for a period of time in Japan?

(c) What are four examples of decisions by corporations that must be disclosed at the time of their occurrence?

(d) What are four examples of “occurrence of material fact” that must be disclosed at the time of their occurrence?
INTERNATIONAL FINANCIAL STATEMENT ANALYSIS: Zetar plc