The Concept of Adequate Disclosure Means That

Multiple Choice

The concept of adequate disclosure means that:

A) The accounting department of a business must inform management of the accounting principles used in preparing the financial statements.
B) The company must inform users of any significant facts necessary for proper interpretation of the financial statements,including events occurring after the financial statement date.
C) The independent auditors must disclose in the financial statements any and all errors detected in the company's accounting records.
D) The financial statements should include a comprehensive list of each transaction that occurred during the year.