Management and Organizational Studies 1023A/B Study Guide - Final Guide: Fiscal Year, Business Cycle, International Financial Reporting Standards

• School: Western University
• Department: Management and Organizational Studies
• Course: Management and Organizational Studies 1023A/B
• Professor: Maria Ferraro

Document Summary

Global economic systems depend on reliable and accurate financial reporting: measures business activities, process data info reports (financial statements, communicates results to decision makers, users and uses of accounting. Accounting identifies and records the economic events of an organization and communicates to interested users. There are two broad categories of users. External users: users of financial information. Managers plan, organize, and run a business. Various decisions: pricing, strategic, marketing, employee compensation, capital budgeting, resource allocation: users of financial information. Others (primary user) (primary user) ex. banks, loans: tax authorities (canada revenue), regulatory agencies (ensure land is up to code by environment ex. Buying a new car), labour unions, economic planners, For accounting information to have value, preparers must have high ethical standards: Accountants, other professionals, and most companies have rules or codes of conduct to guide ethical behaviour. Companies have rules of conduct: forms of business organizations. Separation of legal entity and financial entity (personal vs. business)