Up to what date has the management of Gokhale Method evaluated subsequent events?
Gokhale_Method Franchise · 2024 FDDAnswer from 2024 FDD Document
NOTE 4 - SUBSEQUENT EVENTS
Subsequent events are events or transactions that occur after the balance sheet date but before the financial statements are issued or are available to be issued. The Company recognizes in the financial statements the effects of all subsequent events that provide additional evidence about conditions that existed at the date of the balance sheet, including estimates inherent in the process of preparing the financial statements. The Company's financial statements do not recognize subsequent events that provide evidence about conditions that did not exist at the date of the balance sheet but arose after the balance sheet date and before the financial statements are issued or are available to be issued.
Management has evaluated subsequent events through April 19, 2024, the date on which the financial statements were available to be issued.
Source: Item 22 — CONTRACTS (FDD page 34)
What This Means (2024 FDD)
According to Gokhale Method's 2024 Franchise Disclosure Document, management evaluated subsequent events through April 19, 2024, which was the date the financial statements were available to be issued. Subsequent events are transactions that occur after the balance sheet date but before the financial statements are issued. These events can provide additional evidence about conditions that existed at the balance sheet date.
Gokhale Method recognizes the effects of subsequent events in its financial statements if they provide more information about conditions that already existed at the balance sheet date. However, the company does not recognize subsequent events that relate to conditions that arose after the balance sheet date but before the financial statements were issued.
This evaluation is important for franchisees because it provides insight into how Gokhale Method accounts for and discloses events that could impact the company's financial position after the close of a fiscal year. Understanding the timing and scope of this evaluation can help a prospective franchisee assess the reliability and completeness of the financial information presented in the FDD.