Financial Accounting: General-Purpose Financial Reporting Objective

To provide detailed information about the entity's shareholders

To report financial information that is useful in making decisions about providing resources to the reporting entity (correct)

To evaluate the liquidity, solvency, and financing needs of the entity

To report only on the entity's performance without considering its financial position

Historical performance of the entity

The social responsibility initiatives of the entity

Liquidity, solvency, financing needs, and probability of obtaining financing (correct)

The tax liabilities of the entity

Future returns (correct)

The number of employees in the entity

The market capitalization of the entity

Past losses

<p>To understand the entity's performance and other events affecting its resources</p> Signup and view all the answers

<p>By providing information that aids in making decisions about resources for the entity</p> Signup and view all the answers

<p>Understanding the return on economic resources, its variability, and its components</p> Signup and view all the answers