Mind the GAAP

Harvard Business

Finance & Accounting Accounting Financial analysis Digital ArticleIt’s becoming increasingly difficult to determine whether a firm made a loss or a profit.


How Can I Choose Management Software That’s Right for My Church?

Strategy Driven

Contributions and Finance. They produce the GAAP principles which state how non-profits should have a fund accounting system in place. Thinking about what software is best for your church but aren’t sure what to consider?


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A Blueprint for Digital Companies’ Financial Reporting

Harvard Business

Currently, firms’ first report net profits and then back out many of these one-time items to present a non-GAAP (Generally Accepted Accounting Principles) profit number. Because investors consider these non-GAAP numbers to be value-relevant, we propose a more direct way for them to be calculated. Finance & Accounting Financial markets Technology Digital ArticleDorling Kindersley/Getty Images.


Why We Need to Update Financial Reporting for the Digital Era

Harvard Business

This notion, that risk is a desirable feature, can seem like sacrilege to anyone who’s taken an introductory finance course. In the meanwhile, companies increasingly resort to provision of proforma and non-GAAP reports, even though this practice is looked down upon by the SEC and is opportunistically misused by a few companies. Analysts increasingly rely on non-GAAP metrics. Martin Konopka/EyeEm/Getty Images.


The Dangers of Digital Protectionism

Harvard Business

India’s finance ministry has proposed such an approach to the central bank. follows Generally Accepted Accounting Principles (GAAP), developed through a rules-based approach. Philippe Intraligi/Getty Images. Many governments are currently rethinking their policies regarding cross-border data flows.


You Can't Impress Stock Analysts.and Shouldn't Try

Harvard Business Review

In essence, they'll report their results to GAAP standards and as the SEC, FASB, and other quasi-regulatory bodies require.but they won't answer to analysts. Economy Finance SustainabilityExxonMobil reported last week that its net income reached $10.3 billion.in just the third quarter. The oil giant is arguably the most profitable corporation in history. Ten billion in three months is historic, but as the New York Times reported, " analysts were not impressed.".


Calculating the Market Value of Leadership

Harvard Business Review

In recent years, investors have learned that defining the market value of a firm cannot just be based on finances. GAAP and FASB standards require financial reporting of earnings, cash flow, and profitability – all measures that investors have traditionally examined. But recently, these financial outcomes have been found to predict only about 50% of a firm’s market value.