. Which financial information is found in a company's annual report? A. Employee salaries B. Marketing strategies. C. Financial statements. D. All of the above

If you are the Management Accountant of a company, you would be primarily concerned with: a. Reporting of past data b. Providing useful information to external users c. Helping the management in preparing plans and forecasts for future activities of business d. The annual reporting of company’s financial performance

The income statement, also known as the profit and loss (P&L) statement, provides a snapshot of the financial performance of a company during a specified period of time. It reports a firm’s gross income, expenses, net income, and the income that is available for distribution to its preferred and common shareholders. The income statement is prepared using the generally accepted accounting principles (GAAP) that match the firm’s revenues and expenses to the period in which they were incurred, not necessarily when cash was received or paid. Investors and analysts use the information given in the income statement and other financial statements and reports to evaluate the company’s financial performance and condition. Consider the following scenario: Cute Camel Woodcraft Company’s income statement reports data for its first year of operation. The firm’s CEO would like sales to increase by 25% next year. 1. Cute Camel is able to achieve this level of increased sales, but its…

Which characteristic applies more to financial accounting than to managerial accounting? a. Company treasurer b. Stockholder in the company c. Bank lending to the company d. Union