Page 5 - PowerPoint Presentation
P. 5
THE CONCEPTUAL FRAMEWORK
Objective of general purpose financial
reporting
• Financial statements should present useful
information
• For:
• Investors and lenders - both existing and potential
• Much narrower than internal reporting
• Purpose of useful info
• Decisions about buying / selling / holding entity’s equity /
debt
• Through information on amount, timing and uncertainty
of returns
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