GAAP Accounting Principles - Financial Accounting

The video tutorial discusses the four main principles of Generally Accepted Accounting Principles (GAP): Measurement, Revenue Recognition, Matching, and Full Disclosure. The Measurement Principle emphasizes recording assets at their original cost. The Revenue Recognition Principle dictates recognizing revenue when goods or services are provided. The Matching Principle requires recording expenses in the same period as the related revenue. Lastly, the Full Disclosure Principle mandates reporting all relevant financial information to aid user decisions.

Discuss the implications of not following the four main principles of GAP in accounting.

What is the full disclosure principle and why is it significant?