Financial Reporting Procedure | FS1010

Financial Reporting Procedure

The Financial Reporting Procedure ensures that financial reporting is completed in accordance with legal and ethical requirement and accepted accounting practices; completed within the required time frame(s) and forwarded to required agencies; reviewed and signed by company officers who attest to the reasonable accuracy of the information; and available for the company’s needs. The financial reporting procedure applies to the Finance and Accounting Departments. (10 pages, 1750 words)

If certification is required, both the CEO and the CFO should review the financial controls used to produce the financial statements and the financial statements themselves to ensure that no untrue statements or omissions of a material fact as of the end of the period covered by the report exist.

Financial Reporting Responsibilities:

The CFO (Chief Financial Officer) is responsible for preparing and submitting all financial statements as required by law and by company policy.

The CFO and the CEO (Chief Executive Officer) are responsible for signing all reported financial statements.

Top Management and the Board of Directors are responsible for reviewing and approving all submitted financial reports.

The Controller is responsible for providing audited financial reports to the CFO annually, and unaudited financial reports quarterly.

Financial Reporting Definitions:

Financial Statements – Statements that give an overall picture of the company’s business operations and financial condition.

United States Securities and Exchange Commission (SEC) – Government commission, created by the Securities Exchange Act of 1934 to regulate securities markets (stocks, bonds, derivatives, etc.) and protect investors.

Form 10-Q – The form and instructions needed for submitting quarterly financial reports to the SEC.

Form 10-K – The form and instructions needed for submitting annual financial reports to the SEC.

Annual Stockholders Report (ASR) – Information about the financial status of the company, sent to stockholders prior to or with proxy statements and the notice of the scheduled annual stockholders’ meeting in accordance with reporting requirements.

Financial Reporting Procedure Activities

• Financial Statement Reporting Plan
• Annual Report to Stockholders
• Financial Statements for Business Operations
• Additional Financial Statement Reporting
• Public Company Quarterly Reporting
• Public Company Annual Reporting
• Improving the Financial Statement Reporting Process

Financial Reporting Procedure References

• Securities and Exchange Act of 1934(USA); SEC General Rules and Regulations
• SEC Accounting Regulation S-X (17 CFR 210, USA)
• SEC General Regulation S-K (17 CFR 229, USA)
• SEC General Rules for Electronic Filing Regulation S-T (17 CFR 232, USA)
• Sarbanes-Oxley Act of 2002(USA)
• SEC Regulation 14A Solicitation of Proxies (14A CFR 240)

Financial Reporting Procedure Forms

• Financial Report Checklist Form