Of the following, the most important objective for financial reporting is to provide information useful for:
A)Predicting cash flows.
B)Determining taxable income.
C)Providing accountability.
D)Increasing future profits.

Question

Quizplus · Accepted Answer

The primary objective of financial reporting is to provide information that is useful to investors, creditors, and others in making decisions about providing resources to the entity, particularly in predicting future cash flows.

Of the Following, the Most Important Objective for Financial Reporting