Topic 1B: Users of Financial Information and Accounting Records Flashcards
1
Q
What would investors use the financial information for?
A
Profitability, risk, return and dividends
2
Q
How would employees use financial information?
A
Job security, pay rise, bonus
3
Q
What would lenders be interested in?
A
Will I be repaid?
4
Q
What would suppliers be interested?
A
Credit terms and will they be aid
5
Q
What would customers be interested in knowing?
A
Can the company continue to supply (profit)
6
Q
What would government and agencies look at?
A
Tax due, statistics size of co. and profit
7
Q
What would the public be ken to look at?
A
Job opportunities and impact on the local environment
8
Q
What is the essence of financial information in terms of need?
A
Has to satisfy the needs of different people
