Practicing Success
What is one of the specific objectives of financial statements concerning investors and creditors? |
To report the activities of the business affecting society To disclose accounting policies To provide information about cash flows To judge the effectiveness of management |
To provide information about cash flows |
Financial statements aim to offer valuable information to investors and creditors, enabling them to make predictions, comparisons, and evaluations of potential cash flows. This information pertains to the amount, timing, and associated uncertainties related to cash inflows and outflows. |