00:01
Hello students, here is a question.
00:02
The type of a branch of accounting that generates report for the use of external parties such as creditors, investors and the government agencies which is known as? so, we have an options given here.
00:13
The first is financial accounting, financial accounting.
00:22
The second is managerial accounting, managerial accounting and the third is forensic accounting and the fourth option is tax accounting.
00:48
So, we have to identify this statement is belongs to which accounting.
00:51
So, first will be the financial accounting.
00:54
So, financial accounting is a process which is to prepare financial statement for a company which is usually external parties such as creditor, investors and government agencies to evaluate the company's financial performance and decision making.
01:10
So, this type of accounting follows specific rules and regulations to ensure consistency and comparability between two companies...