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Note 1 Summary of Significant Accounting PoliciesPensionsFor purposes of measuring the net pension liability, deferred outflows of resources and deferred inflows of resources related to pensions,
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Notes to financial statements are explanatory notes that accompany the financial statements, providing additional context and details that help users understand the financial position and performance of an organization.
Organizations that prepare financial statements in accordance with generally accepted accounting principles (GAAP) or international financial reporting standards (IFRS) are required to include notes to their financial statements.
Filling out notes to financial statements involves providing detailed explanations of accounting policies, significant estimates, contingencies, and other important information related to the financial statements. It is typically done by following a structured format that correlates with the financial statement line items.
The purpose of notes to financial statements is to provide transparency, enhance the understanding of the financial information, and disclose the accounting policies and assumptions used in the preparation of the financial statements.
The information that must be reported includes significant accounting policies, details of monetary and non-monetary assets and liabilities, contingent liabilities, commitments, and other relevant disclosures that impact understanding of the financial statements.
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