Reporting Practices and Ethics Paper

Reporting Practice and Ethics

Nina Brown

Health Care Financial Accounting/HCS 405

May 17, 2010

Karen Moses

University of Phoenix

Reporting Practice and Ethics

A health care business is a place where there is care, regulation, stability, and support, a place where people need to experience and see the unison and agreement within the company. A health care business also needs stability and regulation in financial supervision, whereas it will show potency in the company and gives the people more assurance that there are competencies within this organization. To have the right financial regulation, many businesses including the health care world are using the Generally Accepted Accounting Principles (GAAP) framework. This Framework drastically has change over the past 10 years as more companies are moving away from the checks and balances structures toward the GAAP framework. Generally Accepted Accounting Principles are the frequent group of accounting philosophies, values and actions that companies use to assemble their financial reports. GAAP is a mixture of reliable principles establishes by the policy boards, which is usually traditional ways of documenting and summarizing accounting data. Although these principles are not written into law, it is a requirement by the United States Securities and Exchange Commission (SEC) that businesses use them in their financial reporting.

General Accepted Accounting Principles (GAAP)

Different reliable bookkeeping and summarizing procedure is relevant within the health care business. The process in organizing, displaying, assessing or corroborating health care financial numbers requires people to have a particular accountability in this setting. Enforcing the GAAP on health care businesses can help minimum the level of stability in the financial reports survival. The reason for consistency is...