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Financial Statement Restatement Paper

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FINANCIAL STATEMENT RESTATEMENT
Financial Statement Restatement Paper
Following the Guideline of American Psychological Association
Your name
Your instructor’s name

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FINANCIAL STATEMENT RESTATEMENT
Financial Statement Restatement Paper
The users of financial statement need to make effective decision making with respect to financial
activities of a corporation. For proper decision making they have to depend on accurate
information as presented in financial statements. In rare cases there may arise issues regarding
the inaccuracy of financial statements i.e. the information for the user was inaccurate. Companies
need to restate their financial reports risk to overcome the loss of confidence of financial
statements users.
Northwest Pipe Co., being a largest listed company in Washington, manufactures the pipelines of
large diameter and of high quality steel. These steel pipelines mainly used in infrastructure
projects associated with drinking water systems (The Columbian 2010). These pipelines are used
in infrastructure of water system. Company’s policy is to maintain its accounts as per standards
set by FASB. Companies must follow the rules and regulations, as settled by Financial
Accounting Standards Board (FASB), while preparing its financial statement when there exists
any change or error in accounting policy. FASB has introduced four categories of changes and
error, these are; Change in accounting Principle, Change in Accounting Estimate, Change in
Reporting Entity and Error in Financial Statements.
Today many companies face potential risks associated with financial reporting statements. It is
all due to the increased changing business activities or complexity involved in International
Accounting Standards. The procedure of managing expectations and communicating with
various stakeholders and others can prove to be acceptable and profitable. Stakeholders include
the Board of Directors, auditors, regulators and other shareholders.

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 Financial Statement Restatement Paper Following the Guideline of American Psychological Association Your name Your instructor’s name Financial Statement Restatement Paper The users of financial statement need to make effective decision making with respect to financial activities of a corporation. For proper decision making they have to depend on accurate information as presented in financial statements. In rare cases there may arise issues regarding the inaccuracy of financial statements i.e. the information for the user was inaccurate. Companies need to restate their financial reports risk to overcome the loss of confidence of financial statements users. Northwest Pipe Co., being a largest listed company in Washington, manufactures the pipelines of large diameter and of high quality steel. These steel pipelines mainly used in infrastructure projects associated with drinking water systems (The Columbian 2010). These pipelines are used in infrastructure of water system. Company’s policy is to maintain its accounts as per standards set by FASB. Companies must follow the rules and regulations, as settled by Financial Accounting Standards Board (FASB), while preparing its financial statement when there exists any change or error in accounting policy. FASB has introduced four categories of changes and error, these are; Change in accounting Principle, Change  in Accounting Estimate, Change in Reporting Entity a ...
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Very useful material for studying!

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