[1220E] - Midterm Exam Guide - Comprehensive Notes for the exam (12 pages long!)

• School: Western University
• Department: Business Administration
• Course: Business Administration 1220E
• Professor: Gerard Seijts

Document Summary

Compilation of accounting information by an entity. Most common compilation is in the form of an annual report issued by a public corporation for its shareholders. These statements are usually referred to as general purpose financial statements (may not be suitable for everyone). Focus of course is on public companies even though most companies in canada are not public. The f/s of canadian public companies must comply with. The f/s of public companies are prepared by management and are audited by an independent accounting firm which expresses an opinion on the f/s as to whether or not the f/s are materially misstated with respect to ifrs. This audit of the f/s provides a form of safeguard to limit the self-interested behaviour of managers, however considerable flexibility (baised) within ifrs still exists as we will see in course. F/s can be prepared at any time but usually quarterly or at minimum yearly for tax purposes.