Benefits To The Stakeholders Flashcards
How does a businesses accounts benefit the managers?
To plan for the future and to exercise control over the business.
How does a businesses accounts benefit the owner?
To see whether the business is profitable and to assess the liquidity of the business.
How does a businesses accounts benefit suppliers?
To assess whether the business is able to pay for goods according to the agreed terms.
How does a businesses accounts benefits customers?
To assess whether the business is able to supply the goods ordered.
How does a businesses accounts benefit providers of finance?
To assess whether the business can continue to repay money with interest.
How does a businesses accounts benefit employees?
To assess whether the business can continue trading and provide employment and pay wages.
How does a businesses accounts benefit the government?
To assess how much income tax and value added tax is due.
How does a businesses accounts benefit competitors?
To assess how well their own business is performing in comparison.
How does a businesses accounts benefit potential investors?
To assess the viability of investment in the business.
How does a businesses accounts benefit the local community?
To assess the impact of the business on the local community.
