Asked by Siqian Chang on Apr 29, 2024

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Accounting information users need reports about the economic activities and condition of businesses.

Economic Activities

Actions that involve the production, distribution, and consumption of goods and services in an economy.

Accounting Information

Data related to the financial transactions and status of an individual, business, or organization, used for reporting and decision-making purposes.

  • Differentiate between the needs of internal and external stakeholders regarding accounting information.
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ZK
Zybrea KnightMay 05, 2024
Final Answer :
True
Explanation :
Accounting information users, such as investors, creditors, and managers, rely on financial reports to make informed decisions about the financial health and performance of a business. These reports provide information about the company's financial position, its revenues and expenses, and its cash flows, among other things. Therefore, it is true that accounting information users need reports about the economic activities and condition of businesses.