One purpose of accounting is to communicate the financial activities of a company to the stakeholders...
One purpose of accounting is to communicate the financial activities of a company to the stakeholders or users of that information.
List and briefly comment on two stakeholders or potential consumers of the company's financial information. Comment on how these stakeholders would use this information.
Homework Answers
Following are the potential users of financial stakeholders :-
1. Financial institutions - FI's always give loan after checking credit worthiness of the borrower. Financial infornainfo helps them in determining it.
2. Potential investors - they always invest in a company after going through their financial position which requires financial activity information.
3. Shareholders - owners of the company decides whether company is making profit and where it is investing it. As well as wether enough dividend is given to them.
Add Answer to:
One purpose of accounting is to communicate the financial
activities of a company to the stakeholders...
The purpose of financial statements is to communicate information to help users make decisions. True or...
The purpose of financial statements is to communicate information to help users make decisions. True or False True False
Financial statements are the primary tool for communicating a company's performance. How can stakeholders use financial...
Financial statements are the primary tool for communicating a company's performance. How can stakeholders use financial statements to learn about a company's financial position? What information would be of interest to stakeholders? When considering your response to this question, you may want to focus on one or more specific stakeholders. All stakeholders are not seeking the same information. Thus, your response will vary based on the stakeholder(s) on which you focus.
Which one of the following statement(s) are true? A. Financial accounting is geared toward outside users...
Which one of the following statement(s) are true? A. Financial accounting is geared toward outside users of information who are concerned w planning, control and how daily business decisions are made by the company. B. Management accounting is geared toward internal users who are responsible for making daily business decisions while financial accounting is geared toward outside users and must conform to Generally Accepted Accounting Principles (GAAP) rules when preparing general purpose financial statements such as the balance sheet and...
List the 3 financial statements used in financial accounting. Discuss the importance of these financial statements....
List the 3 financial statements used in financial accounting. Discuss the importance of these financial statements. Why do we use these? Who are the users of this information? Discuss how a healthcare manager might use each one. In your opinion, do you feel that one is more important than another? Why or why not? What would happen if we didn't have these types of tools?
Respond to the following in a minimum of 175 words: A component of an accounting system...
Respond to the following in a minimum of 175 words: A component of an accounting system is one part that helps the entire system accumulate financial data, translate the data into worthwhile information, and then communicate the information to the necessary users. Briefly explain the five main components of an accounting system.
One purpose of accounting information is to help certain users make decisions and plans for the...
One purpose of accounting information is to help certain users make decisions and plans for the business and to exercise control so that the plans come to fruition. Which one of the following user groups is most likely to use accounting information for this purpose? 1. Community representatives 2. Owners 3. Employees 4. Managers
A general purpose financial statements means: a financial report prepared by the company for the needs...
A general purpose financial statements means: a financial report prepared by the company for the needs of any user a financial report intended to meet the information needs of preparers a financial report intended to meet the information needs of users who are able to command the preparation of reports to satisfy all of their information needs a financial report intended to meet the information needs of users who are unable to command the preparation of special purpose reports
QUESTION 17 Financial accounting does not deal with which of the following? Measuring a company's economic...
QUESTION 17 Financial accounting does not deal with which of the following? Measuring a company's economic activity. Providing information to internal users. Preparing financial reports. Communicating financial results to investors. QUESTION 18 Financial accounting objectives do not include providing information: O Useful to investors and creditors in making decisions. To determine market values, assess profit potential, and evaluate management. Helpful to investors in predicting cash flows That tells about a company's economic resources and claims to those resources. QUESTION 19...
Distinguish between managerial and financial accounting on one of the items below: Users and decision makers....
Distinguish between managerial and financial accounting on one of the items below: Users and decision makers. Purpose of information. Flexibility of practice. Time dimension. Focus of information. Nature of information.
1. Information provided by financial accounting is Select one: A. Only applicable to business entities, not...
1. Information provided by financial accounting is Select one: A. Only applicable to business entities, not individuals. B. Only applicable to corporations. C. Intended to help creditors and investors. D. Primarily designed to assist internal users in managing the business. Question 2 Which of the following statement is not a description of accounting? Select one: A. The purpose of accounting is to record financial transactions of a business entity. B. Accounting is the language of business. C. Accounting is used...
The purpose of financial statements is to communicate information to help users make decisions. True or False True False
QUESTION 17 Financial accounting does not deal with which of the following? Measuring a company's economic activity. Providing information to internal users. Preparing financial reports. Communicating financial results to investors. QUESTION 18 Financial accounting objectives do not include providing information: O Useful to investors and creditors in making decisions. To determine market values, assess profit potential, and evaluate management. Helpful to investors in predicting cash flows That tells about a company's economic resources and claims to those resources. QUESTION 19...
Most questions answered within 3 hours.
-
Where is the error in this code sequence?
String s1 = "Hello";
String s2 = "ello";...
asked 11 months ago -
Financial data for Joel de Paris, Inc., for last year
follow:
Joel de Paris, Inc.
Balance...
asked 11 months ago -
Consider this reaction:
Al2(SO4)3 (aq)+ BaCl3
(aq) Al2Cl6 (aq)- +
3BaSO4(s) . What is the...
asked 11 months ago -
Suppose that Savneet is considering increasing her
recent random sample from 20 car rentals to 40...
asked 11 months ago -
Trucks arrive at an unloading terminal at an average rate of 120
per hour.
Trucks arrive...
asked 11 months ago -
Why are methanol and ethanol completely soluble in water while
octanol is not very little soluble....
asked 11 months ago -
A facilities manager at a university reads in a research report
that the mean amount of...
asked 11 months ago -
When the CuSO4 is rehydrated by adding water to the anhydrous
compound, is this an endothermic...
asked 11 months ago -
A ray of sunlight is passing from diamond into crown glass; the
angle of incidence is...
asked 11 months ago -
A block of mass 0.249 kg is placed on top of a light, vertical
spring of...
asked 11 months ago -
how do the kidneys compensate in the presences of acidosis
a) trigger hyperventilate
b) reserve acid...
asked 11 months ago -
Question 501 pts
The rental rate of capital to the firm increases. Which of the
following...
asked 11 months ago