Which of the following statements is incorrect?
A)internal reports are provided to company management from within the organisation for planning and control purposes
B)published financial reports of companies are primarily designed to fulfil the information needs of users and to discharge the company's accountability requirements
C)the published financial statements of companies are often referred to as external reports
D)the published financial statements of companies are often referred to as internal reports

Question

Quizplus · Accepted Answer

The statement that "the published financial statements of companies are often referred to as internal reports" is incorrect. Published financial statements of companies are external reports that are provided to users outside the company. In contrast, internal reports are provided to company management from within the organization for planning and control purposes.

Which of the Following Statements Is Incorrect