Asked by Kaleb Hulsey on May 11, 2024

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Generally accepted accounting principles require a company to show two years of data on its statement of stockholders' equity.

Generally Accepted Accounting Principles

A framework of accounting standards, principles, and procedures that companies must follow when compiling their financial statements in the U.S.

Statement of Stockholders' Equity

A financial statement showing the changes in the value of a company's equity over a specific period, due to earnings, losses, and dividends.

  • Identify the components and structure of stockholders' equity.
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Muhammad HizalMay 12, 2024
Final Answer :
False
Explanation :
Generally accepted accounting principles do not require a company to specifically show two years of data on its statement of stockholders' equity. However, the company may choose to include multiple years of data for comparative purposes.