Chapter 3 — Financial Statement Preparation and Disclosure Requirements 3.1 Introduction 3.2 U.S. GAAP for Public Entities 3.3 Transition to New Accounting Standards 3.4 PCC Accounting Standards and Practical Expedients Available to Non-PBEs 3.5 Changes in Accounting Principles 3.6 Regulation S-X 3.6.1 Financial Statement Schedules 3.6.2 Article 8 “Financial Statements of Smaller Reporting Companies” 3.7 Restatements and Corrections of Accounting Errors 3.7.1 Identifying Accounting Errors 3.7.2 Evaluating Accounting Errors 3.7.3 Corrective Action 3.7.4 Impact on Internal Control 3.7.5 Additional IPO Considerations 3.8 Retrospective Items and “To-Be-Issued” Accountant’s Report in an IPO