On what basis of accounting are Aw's financial statements prepared?
Aw Franchise · 2025 FDDAnswer from 2025 FDD Document
bers' equity, and cash flows for the years then ended, and the related notes to the financial statements.
In our opinion, the accompanying financial statements referred to above present fairly, in all material respects, the financial position of Rayyan Pizza Franchise LLC as of December 31, 2024 and 2023, and the results of its operations and its cash flows for the years then ended, in accordance with accounting principles generally accepted in the United States of America.
Basis for Opinion
We conducted our audits in accordance with auditing standards generally accepted in the United States of America (GAAS). Our responsibilities under those standards are further described in the Auditor's Responsibilities for the Audit of the Financial Statements section of our report. We are required to be independent of Rayyan Pizza Franchise LLC, and to meet our other ethical responsibilities, in accordance with the relevant ethical requirements relating to our audits. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our audit opinion.
Source: Item 21 — FINANCIAL STATEMENTS (FDD page 39)
What This Means (2025 FDD)
According to Aw's 2025 Franchise Disclosure Document, the financial statements are prepared in conformity with accounting principles generally accepted in the United States of America. This indicates that Aw adheres to a standardized set of guidelines and practices when reporting its financial data.
This approach ensures that Aw's financial statements are presented fairly and consistently, allowing for meaningful comparisons across different periods and with other companies. The management of Aw is responsible for the preparation and fair presentation of these financial statements, including the design, implementation, and maintenance of internal controls to prevent material misstatements.
Furthermore, the independent auditor's report states that the auditor's opinion is based on audits conducted in accordance with auditing standards generally accepted in the United States of America (GAAS). This reinforces the reliability and credibility of Aw's financial reporting, as it is subject to external scrutiny and validation by qualified professionals. Prospective franchisees can have confidence that the financial information provided by Aw is prepared and audited according to established and recognized standards.