MIS 302F Quiz: ACC Part 2

• School: UT-Austin
• Department: Management Information Systems
• Course: MIS 302F
• Professor: Tuttle Clint

Document Summary

The financial information that users need depends upon the kinds of decisions they make. There are two broad groups of users of financial information: internal users and external users. Internal users of accounting information are managers who plan, organize, and run the business. These include marketing managers, production supervisors, finance directors, and company officers. In running a business, internal users must answer many important questions, as shown in the table. To answer these and other questions, internal users need detailed information on a timely basis. Managerial accounting provides internal reports to help users make decisions about their companies. Examples are financial comparisons of operating alternatives, projections of income from new sales campaigns, and forecasts of cash needs for the next year. External users are individuals and organizations outside a company who want financial information about the company. The two most common types of external users are investors and creditors.