Which group of people would be the most concerned about the ability of a firm to make interest and principal payments?
A)Auditors.
B)Customers.
C)Creditors.
D)Investors.

Question

Quizplus · Accepted Answer

Creditors are the group of people who lend money to the firm and therefore have a vested interest in the firm's ability to make interest and principal payments. If the firm defaults on its payments, creditors could suffer losses or have to take legal action to recover their money. Auditors are concerned with verifying the accuracy of a firm's financial statements, while customers and investors may be more concerned with other aspects of the firm's operations such as product quality, customer service, or long-term growth potential.

Which Group of People Would Be the Most Concerned About