Question: A crucial question brought up in this chapter concerns the issue of whether the admittedly heterogeneous users of financial statements have highly diverse information needs

A crucial question brought up in this chapter concerns the issue of whether the admittedly heterogeneous users of financial statements have highly diverse information needs in terms of their underlying objectives. State as carefully as you can (1) why the user groups have largely diverse information needs, and (2) why the user groups may have relatively similar information needs. Do you think user diversity or different user objectives presents the greater problem for accounting standard-setters?

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Different user groups do indeed have somewhat different user needs Shareholders for example would wa... View full answer

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