This chapter we’ve been looking at the role and basic operation of Accounting. U


This chapter we’ve been looking at the role and basic operation of Accounting. Using your textbook and Internet research to back up your original thoughts, answer the following questions on Accounting by writing at least one full paragraph for each of the questions below in a Word document.As a potential investor in a firm or perhaps the buyer of a business, would you be interested in evaluating the company’s financial statements? Why or why not? What would be the key information you would seek from a firm’s financial statements?Why is it important that accounting reports be prepared according to specific procedures (GAAP)? Would it be advisable to allow businesses some flexibility or creativity in preparing financial statements?What information do financial ratios offer in reviewing the financial performance of a firm and why is that important?