Users of financial reports rely on the accountant to produce reports which are reliable and on which they can make informed decisions. There are a range of financial reports which the accountant produces.
Discuss who the users of financial reports are, and if different users have different financial information requirements.
Explain what sort of information is within each of the reports and how the information within the reports can be used to inform the users, when they are making business and investment decisions.
Explain how these reports are linked together and how they assist users to understand how the business is performing.
Assuming the business is a company, critically evaluate how you would use the financial reports in the decision making process to decide whether or not to invest in the company (by buying shares).
Which reports would you use to decide on different aspects of the company’s financial performance? Explain why.
Critically evaluate what information, in which reports, you would use to base your decision on. Explain what information would provide you with the most useful knowledge about the company and explain why.
Determine (in your opinion) which report or reports provide the most important information. You must explain why you have come to this opinion.

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