passwella.
Menu

JAMB Principles of Accounts 2001 Question 3

Question 3

Introduction to Accounting

The main objective of accounting report is to provide information about

  1. A.a company's shareholding
  2. B.an entity's management
  3. C.the efficacy of assets
  4. D.a company's economic resources.
Show the answer and explanation

Answer: D (a company's economic resources.)

Explanation

Financial statements tell owners, lenders and others what economic resources the entity controls, what it owes and how these have changed, so they can make decisions.