Why are the financial statements important in business?

Economics Today and Tomorrow, Student Edition
1st Edition
ISBN:9780078747663
Author:McGraw-Hill
Publisher:McGraw-Hill
Chapter10: Financing And Producing Goods
Section: Chapter Questions
Problem 14AA
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Why are the financial statements important in business?

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Financial statements are the written records which conveys the activities of business and financial performance of company. They are audited to ensure accuracy for purposes like tax, financing, investment etc. They are audited by firms, government agencies, accountants etc.

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