Internet Financial Reporting

5816 words - 24 pages

INTERNET FINANCIAL REPORTING
(DR. MOHAMMAD GABER GHANEM)

I. Definition of internet:
The internet is a global system of interconnected computer networks that use the standard protocol suite to serve billions of users worldwide. It is a network of networks that consists of millions of private, public, academic, business and government networks of local to global scope, that are linked by a broad array of electronic and optical networking technologies.
The development of internet increased the possibilities to manage business information, not only for internal purposes of companies , but also for external ones , and offered new ways of ...view middle of the document...

III. Traditional System vs. the New Technology
Before engaging in financial reporting on the net we must pay attention and highlight on the traditional way of reporting to understand the difference between these two methods. Traditionally, financial reporting by corporations was in print format and annual reports were mailed to users of financial statements. Financial information was also released to media by way of press release. Before the availability of financial reporting on the net, users of financial statements depended on the hard copies (print) of annual report to reach them. Not everyone had the ability to reach and obtain financial info so they relied on analysts and libraries for getting information.
Internet financial reporting refers to the use of the firm’s websites to disseminate or provide information about the financial performance of corporations, in this approach, firms are using the internet to market their companies to decision makers. the use of the internet by companies for the purpose of reporting manage from the unsophisticated use of internet technology , where the printed financial statements are duplicated in electronic format to a more innovative approach , where shareholders are addressed in audio formats , real time monthly sales figures and annual general meetings are planned on companies websites.

IV. Precautions to consider:

1- What to report?
2- When to report?
3- How to report?
4- Who is responsible for the reporting?

1-what to report?
In this approach we have to consider both coverage and depth of internet financial reporting.
a- Coverage :
What type of information should the firm reports online?
1- Annual reports
2- Interim reports
3- Annual and interim reports
- And we must discuss to which extent these types of financial information are adequate and sufficient for the variety of users.
Annual report:
An annual publication that corporations provide to shareholders to describe operations and financial conditions. It is a comprehensive report on a company’s activities throughout the preceding year. Annual reports are intended to give shareholders and other interested people information about the company’s activities and financial performance. Most jurisdictions require companies to prepare and disclose annual reports, and many require the annual report to be field at the company’s registry. Companies listed on stock exchange are also required to report at more frequent intervals (depending upon the rules of the stock exchange involved).
Typically annual reports will include:
* Chairperson’s report
* CEO’s report
* Auditor’s report on corporate governance
* Mission statement
* Statement of directors’ responsibilities
* Financial statements including:
* Auditor’s report on the Financial statements
* Balance Sheet
* Statement of RE
* Income Statement
* Cash flow statement
* Notes to...

Other Papers Like Internet Financial Reporting

Melba Case Study

1285 words - 6 pages communicating, marketing, selling and reporting to direct sales |1 |Implement a single system that functions as both the E-Commerce website and the CRM system. All customers | | |customers | |will be registered within the E-Commerce website, so therefore there is no requirement to store them in a

Reporting of Intangibles by Service Sector in India

1240 words - 5 pages example, purchase or self-creation) and from which future economic benefits (inflows of cash or other assets) are expected. Thus, the three critical attributes of an intangible asset are:  identifiability  control (power to obtain benefits from the asset)  future economic benefits (such as revenues or reduced future costs) Need for Valuation of Intangibles Financial Reporting aims at true and fair reporting of financial position

Accounting

2405 words - 10 pages Accounting On September 28, 1998, Chairman of the U.S. Securities and Exchange Commission Arthur Levitt sounded the call to arms in the financial community. Levitt asked for, "immediate and coordinated action… to assure credibility and transparency" of financial reporting. Levitt’s speech emphasized the importance of clear financial reporting to those gathered at New York University. Reporting which has bowed to the pressures and tricks of

Marketing Plan

2207 words - 9 pages verification information. ICC Innovation focused on internet solution for businesses in financial area for companies like financial institutes, banks, mortgage and insurance companies etc. As a small company with fewer than ten full-time employees and a host of freelance and part-time help, ICC Innovation, LLC is faced with strong competition in the category from larger credit report agencies and companies that offer similar services who, in recent

Auditing Introduction Letter

1204 words - 5 pages intend to seek financing. The next service we provide is the audit of internal control over financial reporting. Section 404 of the Sarbanes-Oxley Act requires that companies report management’s assessment of the effectiveness of internal control. The act also requires that an auditor attest to the effectiveness of internal control over financial reporting. For such an audit, management must assert whether internal controls have been

Making Connections - Case 14-6

5358 words - 22 pages considering the potential for override of controls or other inappropriate influence over the financial reporting process, such as efforts by management to manage earnings in order to influence the perceptions of financial statement users regarding the entity’s performance and profitability." Responsibilities of the Auditor AU-C Section 240 paragraph.05 "An auditor conducting an audit in accordance with GAAS is responsible for obtaining reasonable

Accounting

5996 words - 24 pages accounting information Real World: Boeing Company, California Public Employees Retirement System, China Airlines Users of accounting information What is financial reporting? Generally accepted accounting principles Accounting organizations Investment return Accounting terminology Accounting organizations Financial and management accounting Management accounting information Accounting organizations Purpose of an audit Audits of financial statements

Manual Solution of Chapter 2

4826 words - 20 pages of the financial reporting system. Under pressure to restore the public’s confidence, Congress passed the Sarbanes-Oxley Act and created the PCAOB in 2002. 2-4 The accounting profession’s expansion into new areas, combined with changes in the overall business environment, resulted in new regulations and guidelines. The scandals of the late 1990s and early 2000s brought into question the profession’s ability to self-regulate

Historical Exploration

993 words - 4 pages administrative functions. Driving this trend in large corporations was first the ever-expanding backlog of software development projects of MIS departments that frustrated financial and operational management, and second the need of remote operations for computing to invoice customers or keep track of inventory or generate timely reporting. In 1979, 81,300 minicomputers were sold compared to 7,300 mainframe computers. The demand for data

Computer Crimes

1006 words - 5 pages An Idaho State University student received a parking ticket. He was infuriated with the officer and so he asked for his full name. The next day, the officer received an email, “Check next time you want to give a ticket. Have fun with your classes.” He was baffled and so he went to his University to find out what he meant. He was shocked to find that his personal records had been manipulated; he had outstanding fees, lost his financial aids

Full Disclosure In Financial Reporting

2570 words - 11 pages The full disclosure principle mandates financial reporting of any and all financial actualities, which are significant enough to stimulus the judgment of an informed reader. Complete financial reporting leads to durable capital markets by helping investors and creditors make knowledgeable decisions regarding an organization or business. The intent of financial reporting is to offer an objective look at a company’s financial status. In order

Related Essays

Extensible Business Reporting Language (Xbrl)

2269 words - 10 pages into the internet, it’s instantly presented to anyone who needs it. Hence, users will be capable to quickly take business decisions, as well as compare one company to another (Beer, 2006). DISADVANTAGES Extensible Business Reporting Language (XBRL) was developed to improve the examination of financial information for interested party and to advance the comparability and consistency of businesses information. The creation of (XBRL) does not come

Accounting Information Systems Essay

559 words - 3 pages sources correctly using the APA format. | 5 | Total: | 40 | Imsorry 1.5 Research the programming language XBRL and write a two-page report about its effect on financial reporting via the Internet. http://www.xbrl.org/WhatIsXBRL/ XBRL's beginning can be traced to the initial efforts of one person, Charles Hoffman, a certified public accountant from Tacoma, Washington. XBRL (eXtensible Business Reporting Language) is a freely available

Accounting Essay

1152 words - 5 pages accounting procedures. It is significant to consider SEC response to framework and Final Rule as stated in Management's Reports on Internal Control Over Financial Reporting and Certification of Disclosure in Exchange Act Periodic Reports -- “We believe that each company should be afforded the flexibility to design its system of internal control over financial reporting to fit its particular circumstances." As per Securities and Exchange Commission (SEC

Dsdtfyugjh Essay

2374 words - 10 pages | | | | | ACC 30020: 2012-13 FINANCIAL ACCOUNTING 3 MODULE DESCRIPTION Financial reporting is the language of business. As business becomes increasingly complex, its communications and regulatory environments also increase in complexity. An appreciation of the structures, techniques, regulation