Question

What are the external users of business information?

Answer 1

1// Investors - - They are intrested in the profitability and safety of his investment and would like to know whether the business is profitable, has growth potential and is progressing on sound lines.


2// Suppliers - - They dealing with the enterprise are intrested in receiving their payments as and when they become due and would like to know its ability to honour its short term commitments.


3// Employees - - They are intrested in better emolument, bonus, and continuence of business, would like to know its financial position and profitability and operating sustainability.

4// Bankers and lenders - - They are intresting in servicing of their loans by the enterprise i. e regular payment of interest and repayment of principal amount on scheduled dates..

Answer 2

Answer:

are people outside the business entity (organization) who use accounting information. Examples of external users are suppliers, banks, customers, investors, potential investors, and tax authorities.