Does the provided text specify any particular accounting standards used in preparing Budget's financial statements?
Budget Franchise · 2025 FDDAnswer from 2025 FDD Document
The Consolidated Financial Statements have been prepared in accordance with accounting principles generally accepted in the United States of America ("GAAP") and include the accounts of our Company and all entities in which we have a direct or indirect controlling financial interest and variable interest entities for which we have determined we are the primary beneficiary. We consolidate joint venture activities when we have a controlling interest and record non-controlling interests within stockholders' equity and the statement of comprehensive income equal to the percentage of ownership interest retained in such entities by the respective non-controlling party. Intercompany transactions have been eliminated in consolidation.
The use of estimates and assumptions as determined by management is required in the preparation of the Consolidated Financial Statements in conformity with GAAP. These estimates are based on management's evaluation of historical trends and other information available when the Consolidated Financial Statements are prepared and may affect the amounts reported and related disclosures. Actual results could differ from those estimates.
Source: Item 21 — FINANCIAL STATEMENTS (FDD page 79)
What This Means (2025 FDD)
According to Budget's 2025 Franchise Disclosure Document, the consolidated financial statements have been prepared in accordance with accounting principles generally accepted in the United States of America (GAAP). This means that Budget follows a standardized set of rules and guidelines when reporting its financial data, ensuring consistency and comparability across different companies and industries.
The use of GAAP also involves making estimates and assumptions that are determined by the management of Budget. These estimates are based on their evaluation of historical trends and other available information when the financial statements are prepared. These estimates can affect the reported amounts and related disclosures in Budget's financial statements. Actual results could potentially differ from these estimates.
Furthermore, the financial statements of Avis Budget Group, Inc. are audited by Deloitte & Touche LLP, an independent registered public accounting firm. Their opinion, included in the report, confirms that the financial statements present fairly the financial position, results of operations, and cash flows of the company in conformity with accounting principles generally accepted in the United States of America.