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UNITED STATES ENVIRONMENTAL PROTECTION AGENCY REGION 7 11201 Runner Boulevard Lenexa, Kansas 66219MAY 2 9 2019 MEMORANDUM SUBJECT:Explanation of Significant Differences Operable Unit 1, Annapolis
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01
Start by stating the purpose of the explanation.
02
Provide background information on the subject matter.
03
Identify and describe the significant differences between the current situation and the expected or previous situation.
04
Use clear and concise language to explain the reasons behind these differences.
05
Support your explanation with evidence or data, if available.
06
Provide recommendations or suggestions on how to address or mitigate the impact of these differences.
07
Conclude the explanation by summarizing the key points and reiterating the importance of understanding the significant differences.

Who needs explanation of significant differences?

01
Regulatory bodies or authorities who require an explanation of significant differences for compliance purposes.
02
Investors or stakeholders who need to understand the financial or operational impact of these differences.
03
Project managers or team members who need to track and analyze deviations from the planned or expected outcomes.
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Auditors or accountants who need to assess the accuracy and reliability of financial statements.
05
Researchers or analysts who are studying the causes and effects of significant differences in specific fields or industries.
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Explanation of significant differences is a report that explains the variations between planned and actual financial results.
Entities that are subject to financial reporting requirements are required to file explanation of significant differences.
Explanation of significant differences can be filled out by providing detailed explanations for each significant difference identified in the financial results.
The purpose of explanation of significant differences is to provide transparency and clarity regarding discrepancies in financial results.
Information such as the reasons for significant differences, the impact on financial statements, and any corrective actions taken must be reported on explanation of significant differences.
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