THE PERFORMANCE OF THE ECONOMIC ENTITY MEASURED THROUGH ACCOUNTING INFORMATION
THE PERFORMANCE OF THE ECONOMIC ENTITY MEASURED THROUGH ACCOUNTING INFORMATION

Summary/Abstract: The users of financial statements need information regarding the resources of an economic entity and also data regarding the way in which the entity’s management is using resources. This information helps users to quantify efficiency and performance within an entity. There are many stakeholders who do show interest in an entity’s financial reports, including existing and potential investors, employees, lenders, suppliers, customers, regulators and other government agencies and not the least the common citizens. The main purpose of this paper is to highlight the importance of the performance measurement and to discuss possible reporting methods. Performance is a concept that raises many questions regarding the most accurate way or the best method for quantifying and reporting performance at the company level .So if financial performance indicators are considered to offer an accurate image of the situation of a company, the modern approach which focuses also on non-financial indicators offers new perspectives upon performance measurement, which may be really expressive and also based on simplicity.

• Details
• Contents