UCONN Home Financial Report

Industry News

The government financial statements usually include a statement of activities (similar to an income statement in the private sector), a balance sheet and often some type of reconciliation. There are four main financial statements. Securities and Exchange Commission have mandated XBRL for the submission of financial information. In the United Kingdom, they have been held liable to potential investors when the auditor was aware financial report of the potential investor and how they would use the information in the financial statements.

For example Bernie Ebbers (former CEO of WorldCom) was sentenced to 25 years in federal prison for allowing WorldComs revenues to be overstated by billion over five years. The elements of financial reports are regulated by Office of Federal Financial Management. It s called gross because expenses have not been deducted from it yet.

In relation to the income statement, one common reformulation is to divide reported items into recurring or normal items and non-recurring or special items. They may use either of two accounting methods.

University of NYC
70 Washington Sq.
New York, NY 10012