Reporting the financial condition of a business at a point in time and the changes in the financial condition of a business over a period of time are the two major objectives of:

Question

Quizplus · Accepted Answer

Financial accounting is concerned with reporting the financial position of a business at a certain date, as well as the changes in the financial position over a period of time. This information is used by investors, creditors, and other stakeholders to make informed decisions about the business. Tax accounting, union contracts, and managerial accounting all serve different purposes and do not focus on these specific objectives.

Reporting the Financial Condition of a Business at a Point