explanatory data that follows the financial statements and is integrally related to them. Footnotes help the user understand financial statement figures and any other matters essential in gauging a company’s financial position. Examples of footnotes are disclosure of accounting policies, lawsuits, pension plan particulars, and tax considerations.
a short comment placed at the bottom ( foot) of a page that provides a citation or insightful comment to the text.* Some word processors cannot handle footnotes properly, placing them at the end of the chapter or article rather than at the foot of the page where they belong.
*This is a footnote. Notice that the asterisk in the footnote matches the asterisk in the text. The typeface used for the footnote is smaller than the font used for the body copy. A horizontal rule or extra vertical space should be used to separate the footnote from the text.