What are the main objectives of financial accounting?
Understand the Problem
The question is discussing the significance and objectives of financial accounting, including the maintenance of records, ascertainment of profit or loss, and determination of financial position.
Answer
Maintain records, ascertain profit/loss, determine financial position.
The main objectives of financial accounting are maintaining records of financial transactions, ascertaining profit or loss, and determining the financial position through financial statements.
Answer for screen readers
The main objectives of financial accounting are maintaining records of financial transactions, ascertaining profit or loss, and determining the financial position through financial statements.
More Information
Financial accounting aims to provide accurate and reliable financial information to stakeholders, enabling informed decision-making.
Tips
A common mistake is not clearly distinguishing between the roles of different financial statements.
Sources
- What Are the Objectives of Financial Accounting? - Investopedia - investopedia.com
- Objectives of Financial Accounting (Definition) | List of Top 11 - wallstreetmojo.com
