State the role of accounting information, Financial Accounting

State the role of Accounting information

Accounting information has a significant role to play in reporting the extent to which different groups have benefited from the business. Hence, owners may depend on accounting information to check whether the pay and benefits of managers are in line with agreed policy. A further illustration is the potential conflict of interest between owners and lenders. There is a risk that funds loaned to a business won't be used for purposes which have been agreed. Lenders may, consequently, rely on accounting information to check that funds have been applied in an appropriate manner and that terms of the loan agreement aren't being broken.


Posted Date: 9/21/2013 1:24:24 AM | Location : United States

Related Discussions:- State the role of accounting information, Assignment Help, Ask Question on State the role of accounting information, Get Answer, Expert's Help, State the role of accounting information Discussions

Write discussion on State the role of accounting information
Your posts are moderated
Related Questions
DEFINITION OF BANKRUPTCY Bankruptcy is another key area of accounting . The issues addressed here deal with the properties of an individual (a sole trader or partner in a partner

1) Which inventory methods are used by Lowe's? (Mark all that apply.) a. Weighted-average b. FIFO c. LIFO d. Dollar-value LIFO e. Retail LIFO f. Retail Dollar-value LIFO g. If mult

On January 1, 2014, Offshore Corporation erected a drilling platform at a cost of $5,420,142. Offshore is legally required to dismantle and remove the platform at the end of its 6

compute the arithmetic mean rate of return and standard deviation of rates of return for the two series

Dawn's new car has a FMV of $20,000 and it weighs 3,000 pounds. The county also assessed a property tax on the car. The tax was 2% of its FMV and $10 per hundred weight. The car is


Illustration of double entry The balances on the current accounts of a head office and branch were Ksh 698,000, before the transactions listed below: Normal 0

Income statement2013 2012 2011 Net revenue 5,075,390.. 4,763,180.. 4,158,507 Cost of goods 1,377,242.. 1,297,102.. 1,134,966.. Gross profit 3,698,148.. 3,466,078.. 3,023,541 Total

Assets                                                       2011                                                                        2010 Non Current Assets

Process of ABC Analysis • Classification:   On the origin of expected use, the items of inventory are categorized according to their categories and per unit Price of each item