{"id":2302,"date":"2013-04-12T14:40:44","date_gmt":"2013-04-12T14:40:44","guid":{"rendered":"http:\/\/officeandhome.biz\/2013\/04\/43-whats-the-difference-between-private-and-public-company-reporting\/"},"modified":"2013-04-12T14:40:44","modified_gmt":"2013-04-12T14:40:44","slug":"reporting-private-vis-a-vis-public","status":"publish","type":"post","link":"https:\/\/consumertaxservice.com\/tecontax\/2013\/04\/12\/reporting-private-vis-a-vis-public\/","title":{"rendered":"Reporting: Private vis-a-vis Public"},"content":{"rendered":"<div align=\"center\">\n<script type=\"text\/javascript\"><!--\ngoogle_ad_client = \"ca-pub-3084109033458149\";\n\/* ArticleMarketing,300x250 ads, ATF, created 3\/17\/10 *\/\ngoogle_ad_slot = \"8199403219\";\ngoogle_ad_width = 300;\ngoogle_ad_height = 250;\n\/\/-->\n<\/script><br \/>\n<script type=\"text\/javascript\"\nsrc=\"http:\/\/pagead2.googlesyndication.com\/pagead\/show_ads.js\">\n<\/script>\n<\/div>\n<p style=\"font-family:tahoma; font-size:14px; text-align:left; color: rgb(0, 0, 0);\">A public corporation is a business whose securities are traded on the public stock exchanges, such as the New York Stock Exchange and Nasdaq. A private company is held solely by its owners and is not traded publicly.  When the shareholders of a private business receive the periodical financial reports, they are entitled to assume that the company&#8217;s financial statements and footnotes are prepared in accordance with GAAP.<\/p>\n<p style=\"font-family:tahoma; font-size:14px; text-align:left; color: rgb(0, 0, 0);\">Otherwise the president of chief officer of the business should clearly warn the shareholders that GAAP have not been followed in one or more respects. The content of a private business&#8217;s annual financial report is often minimal. It includes the three primary financial statements &#8211; the balance sheet, income statement and statement of cash flows. There&#8217;s generally no letter from the chief executive, no photographs, no charts.<\/p>\n<p style=\"font-family:tahoma; font-size:14px; text-align:left; color: rgb(0, 0, 0);\">In contrast, the annual report of a publicly traded company has more bells and whistles to it. There are also more requirements for reporting. These include the management discussion and analysis (MD&#038;A) section that presents the top managers&#8217; interpretation and analysis of the business&#8217;s profit performance and other important financial developments over the year.<\/p>\n<p style=\"font-family:tahoma; font-size:14px; text-align:left; color: rgb(0, 0, 0);\">Another section required for public companies is the earnings per share (EPS). This is the only ratio that a public business is required to report, although most public companies report a few others as well. A three-year comparative income statement is also required.<\/p>\n<p style=\"font-family:tahoma; font-size:14px; text-align:left; color: rgb(0, 0, 0);\">Many publicly owned businesses make their required filings with the SEC, but they present very different annual financial reports to their stockholders. A large number of public companies include only condensed financial information rather than comprehensive financial statements. They will generally refer the reader to a more detailed SEC financial report for more specifics.<\/p>\n<div align=\"center\">\n<iframe loading=\"lazy\" src=\"http:\/\/rcm-na.amazon-adsystem.com\/e\/cm?t=dollacounteco-20&#038;o=1&#038;p=48&#038;l=ur1&#038;category=electronics&#038;f=ifr\" width=\"728\" height=\"90\" scrolling=\"no\" border=\"0\" marginwidth=\"0\" style=\"border:none;\" frameborder=\"0\"><\/iframe>\n<\/div>\n","protected":false},"excerpt":{"rendered":"<p>A public corporation is a business whose securities are traded on the public stock exchanges, such as the New York Stock Exchange and Nasdaq. A private company is held solely by its owners and is not traded publicly. When the shareholders of a private business receive the periodical financial reports, they are entitled to assume &hellip; <a href=\"https:\/\/consumertaxservice.com\/tecontax\/2013\/04\/12\/reporting-private-vis-a-vis-public\/\" class=\"more-link\">Continue reading<span class=\"screen-reader-text\"> &#8220;Reporting: Private vis-a-vis Public&#8221;<\/span><\/a><\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[175,509,14,491,492,514,515,516,163,180,517,503],"tags":[],"class_list":["post-2302","post","type-post","status-publish","format-standard","hentry","category-accounting-2","category-affiliate-business","category-business","category-business-activity","category-business-people-2","category-enterprise-2","category-entrepreneur","category-entrepreneurial","category-home-business","category-home-office","category-internet-business","category-small-business-2"],"_links":{"self":[{"href":"https:\/\/consumertaxservice.com\/tecontax\/wp-json\/wp\/v2\/posts\/2302","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/consumertaxservice.com\/tecontax\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/consumertaxservice.com\/tecontax\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/consumertaxservice.com\/tecontax\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/consumertaxservice.com\/tecontax\/wp-json\/wp\/v2\/comments?post=2302"}],"version-history":[{"count":0,"href":"https:\/\/consumertaxservice.com\/tecontax\/wp-json\/wp\/v2\/posts\/2302\/revisions"}],"wp:attachment":[{"href":"https:\/\/consumertaxservice.com\/tecontax\/wp-json\/wp\/v2\/media?parent=2302"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/consumertaxservice.com\/tecontax\/wp-json\/wp\/v2\/categories?post=2302"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/consumertaxservice.com\/tecontax\/wp-json\/wp\/v2\/tags?post=2302"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}