What should Gokhale Method Institute, Inc.'s financial statements be free from?
Gokhale_Method Franchise · 2024 FDDAnswer from 2024 FDD Document
for the Financial Statements
Management is responsible for the preparation and fair presentation of these financial statements in accordance with accounting principles generally accepted in the United States of America, and for the design, implementation, and maintenance of internal control relevant to the preparation and fair presentation of the financial statements that are free from material misstatement, whether due to fraud or error.
Source: Item 22 — CONTRACTS (FDD page 34)
What This Means (2024 FDD)
According to Gokhale Method's 2024 Franchise Disclosure Document, management is responsible for preparing and presenting financial statements that adhere to accounting principles generally accepted in the United States of America. This includes designing, implementing, and maintaining internal controls relevant to preparing and fairly presenting financial statements.
Specifically, Gokhale Method's financial statements should be free from material misstatements, whether due to fraud or error. This means that the financial information presented should be accurate and reliable, without any significant omissions or inaccuracies that could mislead a reasonable user of the statements.
The auditors' objective is to obtain reasonable assurance that the financial statements as a whole are free from material misstatement, whether due to fraud or error.