A nonrecognized subsequent event refers to an occurrence after the balance sheet date that does not require adjustments to the financial statements. These events provide additional context but do not alter the conditions existing at the balance sheet date. Nonrecognized subsequent events are disclosed in the notes to the financial statements if they are material. This term is crucial for understanding the distinction between recognized and nonrecognized events in financial reporting.
CMA Prep Course
CMA Exam Academy is a proven, 16-week per part online coaching program to help you pass the CMA. The Academy’s comprehensive curriculum will help you pass the CMA exam and achieve your dreams of earning 6-figures per year, ascend to the executive ranks and earn the respect from your peers.