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Question 2 Which of the following statements about annual report disclosures is incorrect? Annual report disclosures include financial statements Subsequent events, that is, events that occur after a company's fiscal year-end but before the financial statements are issued, must be disclosed if they have a significant on assets, liabilities or equity Financial analysts' forecasts of the company's future earnings are included in an annual report Noteworthy related-party transactions must be disclosed in the annual report Which of the following statements is incorrect regarding the two income statement formats (single-step vs. multiple-step)? No specific standard dictates the format of the income statement. The amount of net income reported in a single-step income statement is normally different from that reported in a multiple-step income statement. Companies usually report income tax expense in a separate line in the income statement regardless of the format used. The multiple-step format provides information that might be more useful in analyzing trends Which of the following is(was) not a standard-setting body? Accounting Principles Board Committee on Accounting Procedure The American Institute of Certified Public Accountants Financial Accounting Standards Board