RE:RE:RE:KBB might have garnered someone's attention
framloeg wrote: I totally agree that the settlement should be disclosed and if FB wants to hide/bury the details then JC should have made them pay an extra $5b for this privilege. JC should have insisted on this and this hush money should go directly to the shareholders!
From what I understand and I could be wrong, the amount must be considered as material information before disclosed in financial statements. Material has a different meaning in financial circles. Here's one:
https://www.accountingtools.com/articles/2017/5/9/material
I think that in the US if the amount is large enough to significantly affect the bottom line for a company then it must be reported. Depends on size of company. A huge company like FB for example would not have to report $1m boost whereas a very small company would. Depends on what 'excessive amounts' mean on a company by company basis. Perhaps the transaction isn't as big as we think. Then again I've been reading that non disclosure is becoming the norm in big business.