I tend to agree that all the qualities are important, because there are so many different audiences that use the information. Management uses accounting information to run the business (and be sure they get bonuses based on profitability ) stockholders use it to be sure they continue to have a sound investment, a banker may use it to monitor credit trends and for comparisons to others in the industry, an employee may use it to monitor profit sharing or stock value, an auditor looks to be sure the financial statements present the financial health of a company fairly, etc.
Lots of users, lots of purposes, etc. Thoughts? Comments?© BrainMass Inc. brainmass.com June 4, 2020, 2:35 am ad1c9bdddf
Your thinking appears clear and concise. I would perhaps add a bit of value (if you are looking for more length) to this ...
The expert examines basic accounting and financial statements.