Stakeholders and Their Use of Accounting Information

Front

Owners and shareholders

Back

Whether to continue to invest in the business or sell the business, depending on the risks and returns related to the business.

Front

Managers

Back

Whether to consider ways to improve the performance of the business.

Front

Employees

Back

Whether to continue working at the business.

Front

Lenders

Back

Whether to grant loans to the business, depending on the business’ ability to repay the loan principal and pay interest.

Front

Suppliers

Back

Whether to sell to the business on credit, depending on its ability to pay.

Front

Customers

Back

Whether to buy from the business, depending on the business’ ability to provide the goods and/or services that they need and good after-sales service.

Front

Government

Back

Whether the business complies with the tax regulations and decides the amount of tax to collect from the business.

Front

Competitors

Back

Whether they are comparable to the business and how to improve their own performance.