Reading 29: Introduction to FSA Flashcards
FSA Framework ???
1) State objective & context
2) Gather Data
3) Process Data
4) Analyse & interpret data
5) Report the conclusions or recommendations
6) Update the analysis
Standard setting bodies are?
IASB & FASB
Regulatory authorities are?
SEC, SEBI etc
IASB full form?
International Accounting Standards
FASB full form?
Financial Accounting Standards Board
IASB gave which standards?
IFRS
IFRS full form?
International Financial Reporting Standards
FASB gave which standards?
U.S. GAAP
U.S. GAAP full form?
U.S. Generally Acceptable Accounting Principles
IOSCO stands for what? Also state its function.
International Organisation of Securities Commission; They make regulations for financial markets.
Sarbanes-Oxley Act of 2002
This act makes company’s top executives liable for company’s internal controls (eg: audit)
Which act; “makes company’s top executives liable for company’s internal controls?”
Sarbanes-Oxley Act of 2002
What are proxy statements?
It is issued to shareholders which also contains information about the board members - compensation, managment’s qualifications, issuance of stock options etc.
What are financial statement notes (footnotes)?
Disclosures such as IFRS or U.S. GAAP; accounting methods used, estimates, contingencies, related party transactions etc.
SEC Required filings?
1) S-1: Prospectus or Information memorandum. This is used to issue any securities.
2) 10-K: Annual Report. 20-F for other foreign issuers.
3) 10-Q: Quarterly financial statements for listed companies. Form 6-K for Non-US companies.
4) DEF-14A: Proxy statement
5) 8-K: To report any material events (M&A etc)
6) 144: Private placement (issuing shares in bulk to few investors)
7) 3,4&5: Dealing in company shares by top mgmt & directors
