Which of the following statements,regarding the management's discussion and analysis (MD&A)part of the annual report is NOT correct?
A) Investors are not interested in the MD&A because it is written by the company and could present a biased view of the company's financial condition and performance.
B) It often contains information that is not found in the financial data.
C) It provides forward-looking formation.
D) The MD&A is the company's attempt to explain its financial statements and to discuss its performance.

Question

Quizplus · Accepted Answer

This statement is incorrect because investors are interested in the MD&A as it provides additional information and analysis beyond the financial statements. While it is true that the MD&A is written by the company and may contain biased views, it is still a valuable source of information for investors.

Which of the Following Statements,regarding the Management's Discussion and Analysis