Managers and Other Users of Information

The video tutorial discusses the importance of accurate and timely information for both internal and external users of a company. Internal users, such as managers and employees, rely on this information for planning, organizing, and managing risks. External users, including creditors, investors, and regulatory bodies, need access to quality information to make informed decisions. Understanding who uses the information and why it is crucial for effective reporting.

Who are considered internal users of company information?

• Journalists

• Managers

• Creditors

• Investors

What is one of the key responsibilities of managers in an organization?

• Reporting to the public

• Regulating the organization

• Evaluating organizational performance

• Setting international standards

What type of accounting is primarily used by managers for internal reporting?

• Cost accounting

• Financial accounting

• Tax accounting

• Managerial accounting

Which of the following is an example of an external user of company information?

• Owners

• Employees

• Directors

• Creditors

Why do external users need access to company information?

• To organize company functions

• To set company strategy

• To evaluate potential business partnerships

• To manage internal resources