Off-balance sheet transactions are required to be disclosed
A) in the management discussion and analysis.
B) in the auditor's report.
C) in the Provincial Securities Commission's commentary.
D) in the statement of stockholders' equity.

Question

Quizplus · Accepted Answer

Off-balance sheet transactions are required to be disclosed in the management discussion and analysis section of the financial statements, where management provides analysis and explanation of the financial performance and position of the company. The auditor's report may mention the existence of off-balance sheet transactions but does not provide specific details. The Provincial Securities Commission's commentary may also mention off-balance sheet transactions but is not required or relevant for all companies. The statement of stockholders' equity does not typically include information about off-balance sheet transactions.

Off-Balance Sheet Transactions Are Required to Be Disclosed