(a) Who are internal users of accounting data? (b) How does accounting provide relevant data to these users?

(a) Who are internal users of accounting data?

(b) How does accounting provide relevant data to these users?

Expert Solution

(a)

Internal users are those who plan, organize, and run the business and therefore are officers and other decision makers.

(b)

To assist management, accounting provides internal reports. Examples include financial comparisons of operating alternatives, projections of income from new sales campaigns, and forecasts of cash needs for the next year.

Junaid answered 7 months ago

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