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One of the objectives of accounting is to help investors and creditors assess the amount, timing, and uncertainty of cash flows to them.
a. cannot say if it is true or false given the limited information provided
b. this is always a false statement
c. although false for most of the times, there are several exceptions detailed in Canadian GAAP
d. this is always a true statement
e. although true for most of the times, there are several exceptions detailed in Canadian GAAP

Answer :

Parrain

Answer: d. this is always a true statement

Explanation:

Accounting is very important in decision making because it provides figures that are useful in planning for the future of an investment. The information provided from accounting analysis helps us determine the amount of cashflows as well as the timing and uncertainty of same.

This is done through various formulas such as Discounted cash flow analysis and Residual income measures. Accounting is therefore invaluable to the financial industry because without it, we would stand a far worse chance of planning for business projects.

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