Some of us sometimes hear in the press that Companies “restate” their financial reports. What does it really mean? |
Answer:
In earlier articles, we have discussed about the different type of accounting principles or policies, changes in accounting policies , accounting fundamental errors and difference between change in accounting estimates and change in accounting policies.
At times, when there has been a substantial change in accounting principles or policies, the top management need to recast a previously determined (and published) balance sheet or operating statement and republished them.
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