Table of Contents
Accounting information is important for different people and organizations. They use this information to make decisions about the business.
Internal Users: #
Managers: Need accounting information to decide on business strategies, like expanding the business or cutting costs.
Employees: Interested in the financial health of the business for job security and potential raises.
External Users: #
Investors: Use accounting data to decide whether to invest in a business. For example, if a business shows good profit, investors might want to buy shares.
Creditors: Lenders like banks check accounting information to decide whether to lend money to the business.
Government: Uses accounting data to calculate taxes and ensure businesses follow financial laws.
