Financial accounting is focused on which of the following objectives?
A) Providing information that managers need to make operational decisions
B) Providing summarized information on operational results to investors and creditors
C) Providing budgets for future periods
D) Providing highly detailed information on product lines, regions, divisions, etc.

Question

Quizplus · Accepted Answer

Financial accounting is mainly concerned with providing investors and creditors with summarized financial information regarding a company's operational performance. Other objectives, such as providing information for managerial decisions or future budgets, are typically addressed by managerial accounting. Highly detailed information may be included in financial accounting reports, but only if it is relevant to stakeholders and necessary for understanding the company's financial position.

Financial Accounting Is Focused on Which of the Following Objectives