State the importance of financial statements to :
(i) shareholders
(ii) creditors
(iii) government
(iv) investors

Explanation

Following area unit the importance of monetary statements for:



1. Shareholders:

For a investor, a finances is useful in deciding viability and profit creating capability of a business. It provides businesses with adequate knowledge to analyse the money health and performance of the business.



2. Creditors:

A finances is crucial for a somebody to grasp the credit goodness of the business together with liquidity. It helps them to make your mind up whether or not more investments are often in serious trouble this business.



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