Select the right answer (only one answer is possible, unless otherwise indicated).
1 The objectives of financial reporting for a business entity are based on which elements
(a) Generally accepted accounting principles
(b) The needs of users
(c) The needs for managers to be accountable to owners/investors
(d) The accrual accounting principle
(e) Tax policies formulated by the tax authorities of the country
2. The operating cycle of a business is defined by
(a) Tax authorities
(b) Seasons
(c) The time it takes for cash consumed (or committed) to acquire resources to be returned to cash through sales and payment by customer (cash-to-cash cycle)
(d) Each industry trade association
3. if (Explain your choice)
(a) It refers to raw materials
(b) It is relevant to the decisions considered
(c) It is more than a previously defined percentage of net income
(d) It refers to transactions that are critical in the customer-oriented supply chain
(e) Its nature and magnitude have the potential of changing the decision of a user in a given context
(f) It is declared to be so by the tax authorities
(g) It exceeds a previously defined amount