please read carefully before answering. Thank you. Choose at least two concepts in financial reporting (Intermediate Accounting: Reporting and Analysis) you have learned and explain how you may use them in your present or future accounting position. Make sure you provide details to include how each concept will help you support the financial goals of the company you currently work for or will work for in the future. Solution CONCEPT OF MATERIALITY-THE MOST IMPORTANT CONCEPT IN FINANCIAL REPORTING IS RELATED TO MATERIALITY BECAUSE IT EMPHASISES ON RECORDING OF TRANSACTIONS BASED ON TRANSACTIONS MATERIALITY OR IT\'S IMPORTANCE WITH RESPECT TO THE COMPANY CONCERNED.THE CONCEPT OF MATERIALITY STATES THAT ONLY THOSE TRANSACTION SHOULD BE RECORDED WHICH ARE MATERIAL FINANCIALLY TO THE ORGANISATION OR ELSE SUCH TRANSACTONS SHOULD BE IGNORED.SO IT BECOMES VERY IMPORTANT TO DETERMINE WHAT IS MATERIAL AND WHAT IS NOT FOR THE ORGANISATION FOR A FUTURE FINANCIAL MANAGER AND HENCE WILL REQUIRE PERFECT PROFESSIONAL JUDGEMENT. CONCEPT OF PRUDENCE-IT STATES THAT A TRANSACTION SHOULD BE RECORDED BASED ON IT\'S SUBATANCE FORM RATHER THAN IT\'S LEGAL FORM WHICH MEANS THST IF A TRANSACTION HAS BEEN OCCURED IN SUBSTANCE AND ONLY A LEGAL DOCUMENTATION OR FORMALITIES ARE REMAINING FOR SUCH TRANSACTION THEN SUCH TRANSACTIONS SHOULD BE RECORDED IN BOOKS SO THAT A TRUE AND FAIR VIEW OF ORGANISATION IS GIVEN TO IT\'S USERS.IT IS ALAO A IMPORTANT CONCEPT AS IT WILL LEAD TO RELIABILTY OF ORGANISATION FINANCIAL PERFORMANCE AND THUS WILL CONTRIBUTE TO IT\'S FUTURE GOAL..

1. please read carefully before answering. Thank you.
Choose at least two concepts in financial reporting (Intermediate Accounting: Reporting and
Analysis) you have learned and explain how you may use them in your present or future
accounting position. Make sure you provide details to include how each concept will help you
support the financial goals of the company you currently work for or will work for in the future.
Solution
CONCEPT OF MATERIALITY-THE MOST IMPORTANT CONCEPT IN FINANCIAL
REPORTING IS RELATED TO MATERIALITY BECAUSE IT EMPHASISES ON
RECORDING OF TRANSACTIONS BASED ON TRANSACTIONS MATERIALITY OR
IT'S IMPORTANCE WITH RESPECT TO THE COMPANY CONCERNED.THE CONCEPT
OF MATERIALITY STATES THAT ONLY THOSE TRANSACTION SHOULD BE
RECORDED WHICH ARE MATERIAL FINANCIALLY TO THE ORGANISATION OR
ELSE SUCH TRANSACTONS SHOULD BE IGNORED.SO IT BECOMES VERY
IMPORTANT TO DETERMINE WHAT IS MATERIAL AND WHAT IS NOT FOR THE
ORGANISATION FOR A FUTURE FINANCIAL MANAGER AND HENCE WILL
REQUIRE PERFECT PROFESSIONAL JUDGEMENT.
CONCEPT OF PRUDENCE-IT STATES THAT A TRANSACTION SHOULD BE
RECORDED BASED ON IT'S SUBATANCE FORM RATHER THAN IT'S LEGAL FORM
WHICH MEANS THST IF A TRANSACTION HAS BEEN OCCURED IN SUBSTANCE
AND ONLY A LEGAL DOCUMENTATION OR FORMALITIES ARE REMAINING FOR
SUCH TRANSACTION THEN SUCH TRANSACTIONS SHOULD BE RECORDED IN
BOOKS SO THAT A TRUE AND FAIR VIEW OF ORGANISATION IS GIVEN TO IT'S
USERS.IT IS ALAO A IMPORTANT CONCEPT AS IT WILL LEAD TO RELIABILTY OF
ORGANISATION FINANCIAL PERFORMANCE AND THUS WILL CONTRIBUTE TO
IT'S FUTURE GOAL.