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The main objective of financial statements is to provide relevant and reliable information about the financial performance and position of an entity to a wide range of users to assist them in forming their economic decisions.
For example, investors require financial statements to judge the profitability of their investments. Lenders require them to assess the credit worthiness of potential clients. Management requires financial statements to manage the affairs of the company in the interest of shareholders. Government may require financial statements to assess the accuracy of tax returns.
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Define the purpose of accounting and identify the four basic financial statements?
The purpose of accounting is provide information to the users like investors ,financial institutions and to other clients. The four basic financial statements are balance sheet,income statement,cash flow,statement of retained earning.
What are principle accounting reports involved in financial reporting in general terms what is the purpose of these reports?
The results of the accounting process are the 5 core financial sections: Balance sheet Income statement Statement of changes in equity Statement of cash flows Notes to the financial statements.
What body has defined the purpose of financial accounting and reporting?
The basic foundation of governmental financial accounting and reporting in the United States was established by the Governmental Accounting Standards Boards (GASB) in its "Objectives of Financial Reporting,"
What is the purpose of financial accounting?
The purpose of financial accounting is to provide financial statements and financial reports to individuals who require them. This includes preparing a balance sheet, income statement, cash flow and notes. People that use this information usually have an interest in the company due to investment or ownership.
Is income statement same as financial statement?
no. income statement is a only a statement in financial statements.
What is the purpose of an organization?
The purpose of an organization is to accomplish the goals and objectives as indicated within the organization's vision statement. The mission statement will indicate how they plan on reaching those goals and objectives.
What is the functional areas description mission objectives goals and purpose?
What purpose or function does a mission statement have in an organization?
What is the purpose of the commonwealth organization?
The purpose of an organization is to accomplish the goals and objectives as indicated within the organization's vision statement.
What is the basic purpose of funds flow statement?
Financial position of the company
What is accounting's purpose of the statement of government net assets?
The statement of net assets displays information about the government as a whole, reports all financial and capital resources, and assists the financial statement user
What are the objectives of finance?
it is purpose is to provide basic financial services such as loan savings and insirance to underprevileged people
What are the Objectives of common size financial statement?
A common size financial statement measure the relationship of different items of financial statement with a common variable (net sales in case of common size income statement). I helps to analyze business performance effectively. It is especially useful in comparing various variables of companies of different sizes and scopes.
Define the purpose of accounting and identify the four basic financial statements?
The purpose of accounting is provide information to the users like investors ,financial institutions and to other clients. The four basic financial statements are balance sheet,income statement,cash flow,statement of retained earning.
What are the objectives of micro financing?
it is purpose is to provide basic financial services such as loan savings and insirance to underprevileged people
What four general-purpose Financial Statements do business enterprises use?
If I remember this correctly these are Statement of Cash Flows Income Statement Statement of Retained Earnings Balance Sheet
What are principle accounting reports involved in financial reporting in general terms what is the purpose of these reports?
The results of the accounting process are the 5 core financial sections: Balance sheet Income statement Statement of changes in equity Statement of cash flows Notes to the financial statements.
What body has defined the purpose of financial accounting and reporting?
The basic foundation of governmental financial accounting and reporting in the United States was established by the Governmental Accounting Standards Boards (GASB) in its "Objectives of Financial Reporting,"
