Day: March 1, 2025

The objective of the accountancy profession can best be described as?

Select ONE answer:

1. Providing financial information about an entity to external users, which is useful to them in making economic decisions and for assessing the stewardship of the entity’s management
2. Measurement, disclosure or provision of assurance about financial information that helps managers, investors, tax authorities and other decision makers make resource allocation decisions
3. Identifying, measuring, accumulating, analysing, preparing, interpreting and communicating information used by management to plan, evaluate and control an entity and to assure appropriate use of and accountability for its resources
4. Managing all the processes associated with the raising and use of financial resources in a business

Show your workings to arrive at your answer, and explain and justify your reasons:

……………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………

This multiple-choice question is suitable for Accounting KS5 classes.

The answer is 2

1. Not correct
2. Correct == > The accountancy profession is concerned with providing measurement, disclosure or provision of assurance about financial information that helps managers, investors, tax authorities and other decision makers make resource allocation decisions.. (1) relates to financial reporting; (2) to management accounting; and (4) to financial management.
3. Not correct
4. Not correct

This work is licensed under a Creative Commons Attribution 4.0 International License.