Internal users with information are managerial accounting is to provide relevant and timely information for managers' and employees' decision-making needs. (private accounting)
External users of accounting information include customers, creditors, and the government. These users are not directly involved in managing and operating the business are call financial accounting. Their job is to provide relevant and timely information for decision-making needs of users outside of the business.
1. managerial accounting and financial accounting
internal = inside business external = outside business
External Users of accounting information are NOT directly involved in running the organization. Internal Users of accounting information are those individuals directly involved in managing and operating the organization.
Internal Users of accounting information would not usually be external users. Management, staff, the board, would all be classed as internal users of financial information.
This are in two groups, external users and internal users. External come from outside the business while internal are from inside the business. Examples of external are insurers, suppliers, customers, government tax auditors, etc while internal accounting users are within the business, thus shareholders, owners of the business
Generally bondholders would be external users of financial information. Prudent investors would most likely look over a company's external financial statements and disclosures before purchasing bonds from the company.
internal = inside business external = outside business
External Users of accounting information are NOT directly involved in running the organization. Internal Users of accounting information are those individuals directly involved in managing and operating the organization.
Internal Users of accounting information would not usually be external users. Management, staff, the board, would all be classed as internal users of financial information.
Yes
internal users
This are in two groups, external users and internal users. External come from outside the business while internal are from inside the business. Examples of external are insurers, suppliers, customers, government tax auditors, etc while internal accounting users are within the business, thus shareholders, owners of the business
The accounting process is concerned with both: internal and external transactions representing economic events.
differentiate between financial Accounting and management accounting
External users are not directly involved in the running of the business, they include shareholders, lenders, customers, suppliers, regulators, lawyers, brokers and the press. Yet these users can affect and be affected by the organization. External users rely on accounting information to make better decisions in pursuing their goals for the organization.Internal Users of accounting information are those individuals directly involved in managing and operating an organization. They include managers, officers, and other important internal decision makers. Internal users make the strategic and operational decisions for the business or organization. The internal role of accounting is to provide information to help improve the efficiency or effectiveness of an organization in delivering products or services to the marketplace.
Internal users would be managers so that they can make decisions about how to manage and also see how effectively they have managed. External users would be potential investors, the Government, lenders, the public, unions...
Generally bondholders would be external users of financial information. Prudent investors would most likely look over a company's external financial statements and disclosures before purchasing bonds from the company.
Accounting information is presented to internal users in the form of management accounts, budgets, forecasts andÊfinancial statements. External users are communicated accounting information in the form of financial statements. These users are creditors, tax authorities, investors, etc..