Since there is a lack of a profit motive in nonbusiness entities,they do not need information provided by an accounting system.

Question

Quizplus · Accepted Answer

Even though nonbusiness entities do not have a profit motive, they still need an accounting system to keep track of their financial transactions and report their financial information to stakeholders such as donors, grantors, and government agencies. This information is crucial for making informed decisions, demonstrating accountability, and complying with legal and regulatory requirements.

Since There Is a Lack of a Profit Motive in Nonbusiness