Which Statement Below Best Describes the Objectives of Financial Accounting

question 146

Multiple Choice

Which statement below best describes the objectives of financial accounting?

• A)Provide information that helps predict cash flows.
• B)Provide information about the economic resources,claims to resources and changes in resources and claims.
• C)Provide information that is useful in making decisions.
• D)All of the other answers are correct.

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Definitions:

Carry Value

The original purchase cost of an asset adjusted for depreciation, amortization, or impairment costs on the financial statements.

Joint Operation

A business arrangement where two or more parties share control and management of a project or business.

Joint Venture

A business arrangement where two or more parties agree to pool their resources for the purpose of accomplishing a specific task or business activity.

Rights To Net Assets

The entitlements that equity holders have to a company's assets after all liabilities have been settled.