ACCT1001- Midterm Exam Guide - Comprehensive Notes for the exam ( 56 pages long!)
13 Oct 2017
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Document Summary
Why is accounting important: the information system that identifies, records and communicates economic events to users. Important to the world economy: helpful for all business endeavours, solid foundation for other business disciplines, relevant and useful in other disciplines. Includes finance, marketing, human resources, production, company officers: internal users, used for planning, organizing and running companies, external users, used for decisions of ownership, credit, lending, assess compliance, performance. Investors, creditors, labour unions, customers, regulators and other authorities. Objective of financial reporting: accounting information is communicated to external users via financial statements, the main objective of financial statements is to provide useful information to investors and creditors to make decisions about providing resources to a business. Accounting & ethics: for information to have value, must be prepared by individuals with high standards of ethical behaviour, ethics: standards of conduct used to judge actions.
