On a more general note, making sure that financial statements are up-to-date is so important. As weve seen in our text regarding the revenue and expense recognition principles, outdated information can distort the financial information and make a company look more or less profitable than it really is.

Why do we care about being able to look at a company and know what is going on? Why do we care about knowing the little things, such as the individual entries and whether they are accurate?