Question

Accounting is referred to as the language of business because it is the method of communicating business information to decision makers.
True / False.

Answer 1

Answer:

True

Explanation:

True . Accounting is often called the language of business; it is the language that managers use to communicate the firm's financial and economic information to external parties such as shareholders and creditors. accounting  is defined as the process of identifying, measuring and communicating economic information to permit informed judgement and decisions by users of the information. In other words, it is the process of communicating financial information about a business entity to stakeholders and managers. Economic information is generally displayed in the form of financial statements that show the economic resources that a business currently has; the goal of the business is to determine which information is useful to the outside world.