Financial Reporting


FINANCIAL REPORTING

A recent study by the Financial Executives Institute says the overall quality of corporate financial reporting is high, with relatively isolated, but significant, deficiencies. For example, in 2000, the earnings restatements of only 10 companies caused almost the entire decline in market value ( www.fei.org/download/QualFinRep-6-7-2k1.ppt ).

New forms of deceptive financial reporting are misleading investors, according to SEC Commissioner Isaac C. Hunt, Jr., who also says the agency is monitoring the effects of regulation FD on corporate disclosure and will, if necessary, amend the rule to stimulate the flow of information to the public ( www.sec.gov/news/speech/spch497.htm ).

SPONSORED REPORT

Year-end tax planning and what’s new for 2016

Practitioners need to consider several tax planning opportunities to review with their clients before the end of the year. This report offers strategies for individuals and businesses, as well as recent federal tax law changes affecting this year’s tax returns.

QUIZ

News quiz: IRS warning on cyberattacks and a change in pension rules

Once again, the IRS sounds the alarm about a threat from cyberthieves. See how much you know about this and other recent news with this short quiz.

CHECKLIST

Bolster your data defenses

As you weather the dog days of summer, it’s a good time to make sure your cybersecurity structure can stand up to the heat of external and internal threats. Here are six steps to help shore up your systems.