Which group of users is most likely to require accounting information to assess the ability of a business to pay interest and repay a loan?
A)Employees
B)Customers
C)Creditors
D)Taxation department

Question

Quizplus · Accepted Answer

Creditors, such as banks or other lending institutions, are the most likely group of users to require accounting information to assess the ability of a business to pay interest and repay a loan. This information helps them determine the risk associated with lending money to the business. Employees and customers may be interested in other types of accounting information, such as financial performance or product pricing. The taxation department would require accounting information for tax-related purposes.

Which Group of Users Is Most Likely to Require Accounting