1. Use with Business Accounting and Finance
Second Edition by Catherine Gowthorpe ISBN © 2005 Thomson Learning

2. Use with Business Accounting and Finance
SOLE TRADER
External consumers: Inland Revenue and Customs & Excise
Annual information - profit and loss account and balance sheet
Quarterly information (quarterly VAT return)
Accounting information for use in the business
Use with Business Accounting and Finance
Second Edition by Catherine Gowthorpe ISBN © 2005 Thomson Learning

3. Use with Business Accounting and Finance
PARTNERSHIP
External consumers: Inland Revenue and Customs & Excise
Annual and quarterly information - as for sole trader but NB used as basis for calculating profit share
Accounting information for use in the business
Use with Business Accounting and Finance
Second Edition by Catherine Gowthorpe ISBN © 2005 Thomson Learning

4. Use with Business Accounting and Finance
LIMITED COMPANY
External consumers - some financial information available to everyone
As for sole traders & partnerships - additional information needed for Inland Revenue and Customs & Excise
Accounting information for use in the business
Use with Business Accounting and Finance
Second Edition by Catherine Gowthorpe ISBN © 2005 Thomson Learning

5. Limited company - separation of ownership and management
Use with Business Accounting and Finance
Second Edition by Catherine Gowthorpe ISBN © 2005 Thomson Learning

6. Use with Business Accounting and Finance
Shareholders and potential shareholders
Investment analysts
Lenders and potential lenders
Employees and trade unions
Suppliers
Special interest groups
Use with Business Accounting and Finance
Second Edition by Catherine Gowthorpe ISBN © 2005 Thomson Learning

7. Use with Business Accounting and Finance
Government: tax collecting and other agencies
Financial journalists
Academics and students
Customers
The general public
Use with Business Accounting and Finance
Second Edition by Catherine Gowthorpe ISBN © 2005 Thomson Learning

8. Use with Business Accounting and Finance
Relevant
Reliable
Comparable
Understandable
Use with Business Accounting and Finance
Second Edition by Catherine Gowthorpe ISBN © 2005 Thomson Learning

9. Use with Business Accounting and Finance
Second Edition by Catherine Gowthorpe ISBN © 2005 Thomson Learning

10. Events and financial information flow
Use with Business Accounting and Finance
Second Edition by Catherine Gowthorpe ISBN © 2005 Thomson Learning

11. Use with Business Accounting and Finance
SUMMARY
Accounting is used to provide:
Financial reports about companies for a range of user needs
Management reports in all types and sizes of business organisation to assist managers to:
CONTROL, PLAN, MAKE DECISIONS
Use with Business Accounting and Finance
Second Edition by Catherine Gowthorpe ISBN © 2005 Thomson Learning