Which definition below best describes financial accounting?
A)Process of measuring income taxes owed to the government.
B)System of maintaining communication with a company's customers and suppliers.
C)Procedures designed to enhance the company's image to potential investors.
D)Measuring business activities and communicating them to external parties.

Question

Quizplus · Accepted Answer

Financial accounting is the process of measuring and communicating a company's financial activities and performance to external parties such as investors, creditors, and regulatory agencies. Option A describes tax accounting, option B describes supply chain management, and option C describes public relations.

Which Definition Below Best Describes Financial Accounting