Under what accounting standard does Bang Cookies recognize revenue?

According to Bang Cookies' 2024 Franchise Disclosure Document, the company prepares its financial statements in conformity with accounting principles generally accepted in the United States of America (GAAP). This indicates that Bang Cookies adheres to a standardized set of accounting rules and guidelines when reporting its financial performance and position.

Specifically, the FDD states that the summary of significant accounting policies is presented to assist the reader in understanding and evaluating the Company's financial statements. The financial statements and notes are representations of the Company's management, which is responsible for their integrity and objectivity. These accounting policies conform to generally accepted accounting principles and have been consistently applied in the preparation of financial statements.

For a prospective franchisee, this means that Bang Cookies' financial statements are prepared using a consistent and recognized framework, which allows for easier comparison with other companies and a better understanding of their financial health. It also suggests that the company's management takes responsibility for the accuracy and reliability of the financial information provided.