Question
How can I respond to the below discussion board? Refer to P&G's financial statements and the accompanying notes to answer the following questions. What alternative
How can I respond to the below discussion board?
Refer to P&G's financial statements and the accompanying notes to answer the following questions.
- What alternative formats could P&G have adopted for its balance sheet? Which format did it adopt?
It looks like P&G adopted the Classified balance sheet in Report format, but they could have used Account, Liquidity, Permanency formats and could have adopted an Unclassified balance sheet.
2. Identify the various techniques of disclosure P&G might have used to disclose additional pertinent financial information. Which technique does it use in its financials?
It looks like P&G used the parenthetical, notes, and supporting schedule technique in its financials to disclose additional pertinent financial information, but they could have also used cross-references to other financial information like a bank statement or reconciliation. They're all effective and often in combination, but they can often be better suited for different purposes. For example, if you are disclosing financial information that requires depreciation detail, you may want to include a supporting depreciation or amortization (for any loans that may exist) schedule.
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