Users especially rely on this information to predict future operations. Many users view this section as the most important:

Question

01-07-2021
Business

Answered

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Users especially rely on this information to predict future operations. Many users view this section as the most important:

Sagot :

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Parrain Parrain · Answer 1 · 2021-07-09T09:34:37-04:00

Answer: a. Continuing operations.

Explanation:

When a company prepares its financial statements, it does this assuming the principle of going concern which is that operations will continue in the near future. The information that is therefore shown, unless specified otherwise, is from continuing operations.

Users of financial statements rely on this information from continuing operations to analyze what the company is likely to do in future or how it is likely to perform. It is therefore a very important section as it shows whether stakeholders should remain invested in the company.

Sagot :

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