If a company uses a non-GAAP fi nancial measure in an SEC fi ling, then the companymust:A . give more prominence to the non-GAAP measure if it is used in earnings releases.B . provide a reconciliation of the non-GAAP measure and equivalent GAAP measure.C . exclude charges requiring cash settlement from any non-GAAP liquidity measures.
If a company uses a non-GAAP fi nancial measure in an SEC fi ling, then the companymust:A . give more prominence to the non-GAAP measure if it is used in earnings releases.B . provide a reconciliation of the non-GAAP measure and equivalent GAAP measure.C . exclude charges requiring cash settlement from any non-GAAP liquidity measures.
Essentials Of Investments
11th Edition
ISBN:9781260013924
Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Chapter1: Investments: Background And Issues
Section: Chapter Questions
Problem 1PS
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If a company uses a non-GAAP fi nancial measure in an SEC fi ling, then the company
must:
A . give more prominence to the non-GAAP measure if it is used in earnings releases.
B . provide a reconciliation of the non-GAAP measure and equivalent GAAP measure.
C . exclude charges requiring cash settlement from any non-GAAP liquidity measures.
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If a company uses a non-GAAP financial measure in an SEC filing, then the company must provide a reconciliation of the non-GAAP measure and equivalent GAAP measure.
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