to make sure firms able to pay for its purchases
shareholders,creditors,suppliers,managers,investors,public and customers need accounting information for?
types of stakeholder and there accounting information needs
Accounting users need accounting information in order to give them the true state of their financial transaction and records.
They need accounting information to make a study and assess how accounting information affect business organisation.
Accounting programs are designed to keep and organise financial information. This information includes employee payrolls, sales and purchases ledgers, bank transactions records and records of suppliers. It is easy to print the information as financial reports.
Investors need the accounting information to see that how company is performing to decide whether to invest or not in company.
To perform Financial Analysis on companies
Entrepreneurs need to have accounting and financial information to determine the feasibility of their business. It is also important to know if what you are doing is profitable .
Here are the five users of Accounting 1.shareholders of a company 2.Government 3.Suppliers/ Creditors 4.General public 5.Employees
employees need accounting information to analyze the profit so as to determine their part of bonus and further identify the health of the corporation where they work.
Auditors need accounting information because their job is to compile the information and make sure it is accurate. Auditors make sure the numbers add up which is extremely useful information to know.
managerial accounting