Which of the following statements is false?
A)Financial accounting helps investors make decisions.
B)Financial accounting provides sufficient information for managers to effectively plan and control operations.
C)Financial accounting reports help creditors make decisions.
D)Financial accounting provides external reports.

Question

Quizplus · Accepted Answer

Financial accounting provides information for external users such as investors, creditors, and regulatory authorities. It is not designed to provide managers with all the information needed for planning and controlling operations, as they require more detailed and timely information than what is typically included in financial statements. Management accounting is the field that focuses on providing information for internal decision-making purposes.

Which of the Following Statements Is False