Podcast
Questions and Answers
What do the shareholders of the company want to assess?
What do the shareholders of the company want to assess?
- The company's ability to pay suppliers
- The company's ability to pay taxes
- The company's ability to manage the business efficiently (correct)
- The company's ability to advise potential suppliers
Why do suppliers want to know about the company's financial situation?
Why do suppliers want to know about the company's financial situation?
- To ensure that the company is a secure source of supply (correct)
- To provide a basis for national statistics
- To assess the tax payable by the company
- To advise potential suppliers of goods to the company
What information do providers of finance, such as banks, want to ensure?
What information do providers of finance, such as banks, want to ensure?
- The company's ability to repay debts (correct)
- The company's ability to advise investors
- The company's ability to pay taxes
- The company's ability to manage the business efficiently
Why do the taxation authorities want to know about business profits?
Why do the taxation authorities want to know about business profits?
Why should employees of the company have a right to information about the company's financial situation?
Why should employees of the company have a right to information about the company's financial situation?
Who needs information for their clients or audience?
Who needs information for their clients or audience?
What do journalists need information for?
What do journalists need information for?
Who is interested in the allocation of resources and therefore in the activities of business entities?
Who is interested in the allocation of resources and therefore in the activities of business entities?
What are trade contacts interested in knowing?
What are trade contacts interested in knowing?
Why are credit agencies interested in getting information?
Why are credit agencies interested in getting information?
What is the primary objective of financial statements?
What is the primary objective of financial statements?
In what situations is the stewardship role particularly important for financial statements?
In what situations is the stewardship role particularly important for financial statements?
Who are the managers of a company appointed by, and what information do they need from financial statements?
Who are the managers of a company appointed by, and what information do they need from financial statements?
For what types of economic decisions are financial statements likely to be used?
For what types of economic decisions are financial statements likely to be used?
Which users are likely to be interested in financial information about a large company with shares listed on a stock exchange?
Which users are likely to be interested in financial information about a large company with shares listed on a stock exchange?
What is the significance of providing financial information to a wide range of users?
What is the significance of providing financial information to a wide range of users?
