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The absence in principle of tangible economic activity of a holding company. The absence in principle of tangible economic activity of a holding company, must encourage its founder to the utmost vigilance, if it wishes to implement it in a State” told privileged taxation’. The Principles of GAAP Generally accepted accounting principles, or GAAP for short, are the accounting rules used to prepare and standardize the reporting of financial statements, such as balance sheets, income statements and cashflow statements, for publicly traded companies and many private companies in the United States. GAAP- based income is. The analyst compares balance sheets from at least two successive years and analyses them to see changes in the financial statement.
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