Financial accounting is the process of identifying, measuring, and communicating financial information about an economic entity to various user groups within the political, social, legal and economic environment. What are four major elements of financial accounting ?

Question

Business

Kailey Hunt

6 July, 13:51

Financial accounting is the process of identifying, measuring, and communicating financial information about an economic entity to various user groups within the political, social, legal and economic environment. What are four major elements of financial accounting ?

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Answers (1)

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Gisselle Murphy · Answer 1

The correct answer is "financial information; economic entity; user groups; legal, economic political and social environment"

Explanation:

The four major elements of financial accounting are:

1. financial information: includes items such as management discussion, analysis, and reports.

2. economic entity: An economic entity is company actions that are separate from its owners and other entities, such as corporations and governmental organizations.

3. user groups: request business information of an economic entity. Investors and financial analysts are user groups.

4. legal, economic political and social environment: influences the financial reporting process.