3. The objective of general financial reporting is to provide financial information about the reporting entity that is useful to existing and potential investors, lenders and other creditors in making decisions relating to providing resources to the entity. To make the necessary decisions users need to obtain information and assess those decisions that are NOŤ relevant. Which of the following options are not relevant for users to assess? 1. Prospects for past net cash inflows to the entity. 2. Decisions about providing or settling loans and other forms of credit. 3. Decisions about exercising rights to vote on, or otherwise influence, management's actions that affect the use of the entity's economic resources. 4. Decisions about buying, selling or holding equity and debt instruments.

3. The objective of general financial reporting is to provide financial information about the reporting entity that is useful to existing and potential investors, lenders and other creditors in making decisions relating to providing resources to the entity. To make the necessary decisions users need to obtain information and assess those decisions that are NOŤ relevant. Which of the following options are not relevant for users to assess? 1. Prospects for past net cash inflows to the entity. 2. Decisions about providing or settling loans and other forms of credit. 3. Decisions about exercising rights to vote on, or otherwise influence, management's actions that affect the use of the entity's economic resources. 4. Decisions about buying, selling or holding equity and debt instruments.

Intermediate Accounting: Reporting And Analysis

3rd Edition

ISBN:9781337788281

Author:James M. Wahlen, Jefferson P. Jones, Donald Pagach

Publisher:James M. Wahlen, Jefferson P. Jones, Donald Pagach

Chapter4: The Balance Sheet And The Statement Of Shareholders' Equity

Section: Chapter Questions

Problem 7MC

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