The SEC requires listed companies to report changes in shareholder's equity as a separate disclosure, whereas smaller companies can report changes in a supporting schedule or as note in the financial statements.

Question

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This statement is true. The SEC requires listed companies to report changes in shareholder's equity as a separate disclosure in their financial statements, while smaller companies have the option to report changes as a supporting schedule or a note.

The SEC Requires Listed Companies to Report Changes in Shareholder's