Following Persons or Users or Parties interested in Accounting Information:
Owners(Users or Parties interested in Accounting Information)
Accounting provides necessary information to the owners of the business. So that they can know the results of business operations and financial position, Owners are interested in the Safety of their investment as well as in reasonable returns their Thereon.
Large Business Organisation and corporate bodies have separated management body and Owners (All Shareholders) are not included in Management. Management of such business organization is more concerned with the accounting information because managers are answerable to the owners.
Thus, Managers are responsible for efficient operations of Business and to Earn maximum returns on capital employed.
investors ask concerned with the Profitability And Safety of their investments. They derive the information from the published Accounts. They also want to know whether the business will survive and pay Attractive dividend bonus etc or not.
financial statement of the business become the basis of government for future Tax Planning, production, price control, import-export facilities, Grants, license policy etc.
Employees and Labour Unions
employees and level unions are interested in business information as the basis for supporting Wages demands. which is demands they are interested in the earning of the enterprise because increase in wages and payment of bonus depends on the size of profit earned. 😯
Creditors for supply of goods, Creditors for Expenses and other short term and long term creditors are interested in liquidity and stability. they would be satisfied if their payments are made in time.
Different types of agencies and Government Departments use Accounting information for Evaluating how well Variance business are Operating under Regulatory legalization. they also use accounting data as a basis for Assessment.
Accounting information I also used by Research Scholars in their research work. they do research on business affairs and practice and give suggestions for making decisions.
In addition to above 1. Financial Analysts and Advisers, 2. stock exchanges 3. trade Associations 4. Consumers 5. Sociologist and 6. Economist and the Public at large are the Uses of Accounting Statements.
Thus, Now you understood the Users or Parties interested in Accounting Information. 🙂