Who are the users of accounting Data?

 

The financial information that users need depends upon the kinds of decisions they make. There are two groups of accounting data users, they are internal users and external users.

Internal Users : Internal users of accounting users are managers who plan organize and run the business. These includes marketing managers , production managers , supervisors , finance directors , and company officers.

External Users : External Users are individuals and organizations outside a company who want financial information about the company. The two most common types of external users are investors and creditors. Investors use accounting information to decide whether to buy or sell ownership shares of a company. Creditors use accounting information to evaluate the risks of granting credit or lending money.