Lesson: The Full Disclosure Principle

In this lesson, delve into the intricacies of the full disclosure principle with Nick Palazzolo, CPA, who unravels the intricacies behind one of the most critical aspects of financial reporting. Tackling the balance between transparency and practicality, this lesson examines the potential challenges encountered when determining the level of detail to include in financial notes. With a realistic approach, Nick discusses the cost-benefit analysis of valuing an asset versus the expense of hiring an expert, and the concept of information overload that could lead stakeholders to disregard excessively detailed reports. This engaging exploration also touches on the ethical expectations for companies to uphold higher standards of disclosure without overwhelming the audience.