Describe the various types of individuals who use accounting information and how they use that information to make crucial decisions

Individuals use accounting information to estimate the current cash holding and the future cash requirement for retirement, children's education, marriage, etc.

Businesses use accounting measures to set objectives and measure progress to achieve a predetermined goal.

Investors use accounting information to evaluate the attractiveness or profitability of the proposed investment proposal.

Creditors are the persons or business to whom the company owes money. They use the accounting information to evaluate the company's credibility to provide or extend credit terms.

Taxing authorities such as federal, local, or state governments use accounting information to estimate the tax liability for the business or the individual.