Question

Users of accounting information include ____________.

• A. Tax authorities
• B. Investors
• C. Creditors
• D. All of these

Answer 1

The correct option is D All of these

The objective of accounting is to provide information to users for decision-making.

The users of accounting information include: the owners and investors, management, suppliers, lenders, employees, customers, the government, and the general public.

The users may be classified into internal and external users.

Internal users refer to managers who use accounting information in making decisions related to the company's operations.

External users, on the other hand, are not involved in the operations of the company but hold some financial interest. The external users may be classified further into users with direct financial interest – owners, investors, creditors; and users with indirect financial interest – government, employees, customers and the others.