Users of Accounting Information

Vocabulary flashcards covering the internal and external users of accounting information based on the Grade 11 Basic Accounting lesson.

Internal Users

People within the business who use accounting information to plan, control, and make decisions.

External Users

Individuals or organizations outside the business who use accounting information to make economic or business decisions.

Owner / Management

Internal users who check profit or loss, plan expansion, control costs, and make major decisions.

Managers

Internal users who prepare budgets, monitor sales, control expenses, and make operating decisions.

Employees

Internal users who use accounting information to understand business performance, consider compensation and benefits, and monitor job stability.

Investors

External users who assess business performance before deciding whether to put money into the business.

Banks / Creditors

External users who assess the ability of a business to repay loans or credit.

Government

External user that uses financial information for taxation, compliance, and determining tax obligations.

Suppliers

External users who assess the ability of a business to pay for supplies bought on credit.

Customers

External users who may consider business stability, especially for long-term relationships.