Question

Which of the following describes the primary objective of financial accounting?Options: To provide useful financial information only to stockholders. To provide information about a business' future business strategies. To provide useful financial information about a business to help external parties make informed decisions. To provide useful financial information about a business to help internal parties make informed decisions.

Answer 1

Answer:

To provide useful financial information about a business to help internal parties make informed decisions.

Explanation:

• The main objective of financial accounting is to provide accurate records of account of a particular period.
• This accounting information is what, the parties involved in the business use to make decisions, on the course of their business based on the evidence from the accounts.
• The accounting information provided by financial accounting are the financial statements of a business.