Final answer:
The answer is true; U.S. federal law demands that businesses keep and disclose financial data for set time frames for regulatory and transparency purposes, coordinated by agencies like the Securities and Exchange Commission.
Step-by-step explanation:
True, federal law in the United States does require companies to store, evaluate, and disclose financial data for fixed periods, even if the data is no longer actively used by the company. The legal framework established through various laws, including the Federal Securities Act and subsequent legislation, ensures that businesses must adhere to strict disclosure regulations regarding financial information. For example, the government has mandated the disclosure of relevant information for publicly traded securities, which is regulated by the Securities and Exchange Commission (SEC).
Federal requirements also encompass other business disclosures, such as the nutritional information on food and beverage products and warning labels on tobacco items. These regulations aim to promote transparency, prevent fraud, protect personal and private data, and facilitate informed decision-making by consumers and investors.
Specific legislation like the Children's Online Privacy Protection Act (COPPA) safeguards personal data of children online, underlining the importance the government places on privacy and the proper handling of personal information. Moreover, professional organizations and federal codes enforce standards regarding the use of research data.