Figure (Panel A) shows that not every economic event affecting an entity is entered into the entity's

Question:

Figure (Panel A) shows that not every economic event affecting an entity is entered into the entity's accounting system. What do you think are the implications for and of not having every economic event recorded in the accounting system?

Financial Statements
Financial statements are the standardized formats to present the financial information related to a business or an organization for its users. Financial statements contain the historical information as well as current period’s financial... Stakeholders
A person, group or organization that has interest or concern in an organization. Stakeholders can affect or be affected by the organization's actions, objectives and policies. Some examples of key stakeholders are creditors, directors, employees,...