Question
GAAP stands
for:Solution
GAAP stands for "Generally Accepted Accounting Principles." These are a set of standard accounting principles, concepts, and procedures used by companies to prepare and present their financial statements. GAAP provides a framework for how financial information should be recorded, reported, and disclosed, ensuring consistency, comparability, and reliability of financial statements across different businesses and industries. Adhering to GAAP is essential for companies to maintain transparency, accuracy, and credibility in their financial reporting, as it helps investors, creditors, and other stakeholders make informed decisions based on reliable and standardized financial information.
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