Financial Services Compensation Scheme and Financial reporting: Difference between pages

From ACT Wiki
(Difference between pages)
Jump to navigationJump to search
imported>Doug Williamson
(Add link.)
 
imported>Doug Williamson
(Add links.)
 
Line 1: Line 1:
''Financial services - regulation - retail depositors - UK.''
1. ''External.''


(FSCS).
Financial reporting is traditionally external.


The UK scheme that guarantees certain bank, building society or credit union depositors' funds - subject to limits - should the bank, building society or credit union fail.
It is concerned with collating and providing information to external stakeholders, the financial markets and the public.


Contrasted with management accounting, which provides information for internal stakeholders.


The guaranteed amount in the UK is limited and may vary from one year to the next. For failures from 2017 to 2021, the guaranteed amount in the UK was limited to £85,000.




The FSCS is funded by a levy on financial firms authorised and regulated by the UK's Financial Conduct Authority and the Prudential Regulation Authority.
:<span style="color:#4B0082">'''''The objective of financial reporting (International Financial Reporting Standards overview)'''''</span>


:The users of financial information need to assess:


:*Prospects for future net cash inflows to the reporting entity; and
:*Management's stewardship of the entity's economic resources.


Similar deposit guarantee schemes operate in the majority of developed economies, under different names and with differing conditions and degrees of formality.


:Accordingly, financial reporting seeks to provide information about:


==See also==
:*The entity's economic resources (assets), claims against the entity (liabilities) and changes in those resources and claims; and
* [[BIP]]
:*How efficiently and effectively management has discharged its responsibilities to use the entity's economic resources.
* [[Compensation]]
* [[Credit union]]
* [[Deposit Guarantee Scheme]]
* [[Deposit insurance]]
* [[DGSD]]
* [[Financial Conduct Authority]]
* [[Financial Ombudsman Service]]
* [[International Association of Deposit Insurers]]
* [[Levy]]
* [[Prudential Regulation Authority]]
* [[Regulation]]
* [[Retail]]
* [[Stability]]




==External link==
External reporting is mandatory for all limited liability companies, regardless of who owns them.


* [https://www.fscs.org.uk/ FSCS website]
However, smaller and privately owned companies do have relatively lighter (mandatory) reporting requirements.


[[Category:The_business_context]]
All companies may choose to publish more than the minimum mandatory information.
[[Category:Financial_risk_management]]
 
 
Financial reporting is also known as ''financial accounting''.
 
 
2. ''Internal.''
 
The term 'financial reporting' is also used by some organisations in a broader sense, to include internal reporting (as well as external).
 
 
 
== See also ==
* [[Accounts]]
* [[Annual report]]
* [[Assets]]
* [[Balance sheet]]
* [[Cash flow statement]]
* [[Closing exchange rate]]
* [[Company]]
* [[Conceptual framework]]
* [[Credit]]
* [[Entity]]
* [[Environmental profit and loss]]
* [[Equity]]
* [[Finance]]
* [[Financial accounting]]
* [[Financial planning and analysis]]
* [[Fiscal]]
* [[Income statement]]
* [[Incremental]]
* [[International Financial Reporting Standards]] (IFRS)
* [[International Integrated Reporting Council]] (IIRC)
* [[Liabilities]]
* [[Limited liability company]]
* [[Management accounting]]
* [[Management efficiency ratio]]
* [[Performance]]
* [[Position]]
* [[Primary statements]]
* [[Private company]]
* [[Shareholder]]
* [[Small and Medium-sized Enterprises]]
* [[Stakeholder]]
* [[Statement of changes in equity]]
* [[Statement of comprehensive income]]
* [[Stewardship]]
* [[Sustainability Accounting Standards Board]] (SASB)
* [[Sustainable Finance Disclosure Regulation]] (SFDR)
* [[Useful financial information]]
* [[Value Reporting Foundation]] (VRF)
 
[[Category:Accounting,_tax_and_regulation]]

Revision as of 15:03, 10 August 2021

1. External.

Financial reporting is traditionally external.

It is concerned with collating and providing information to external stakeholders, the financial markets and the public.

Contrasted with management accounting, which provides information for internal stakeholders.


The objective of financial reporting (International Financial Reporting Standards overview)
The users of financial information need to assess:
  • Prospects for future net cash inflows to the reporting entity; and
  • Management's stewardship of the entity's economic resources.


Accordingly, financial reporting seeks to provide information about:
  • The entity's economic resources (assets), claims against the entity (liabilities) and changes in those resources and claims; and
  • How efficiently and effectively management has discharged its responsibilities to use the entity's economic resources.


External reporting is mandatory for all limited liability companies, regardless of who owns them.

However, smaller and privately owned companies do have relatively lighter (mandatory) reporting requirements.

All companies may choose to publish more than the minimum mandatory information.


Financial reporting is also known as financial accounting.


2. Internal.

The term 'financial reporting' is also used by some organisations in a broader sense, to include internal reporting (as well as external).


See also