Users of Accounting Information and Their Needs Billings Inc. would like to buy a franchise to provide a specialized service. Some information about Billings is more useful to some people involved in the project than to others.

Required Complete the following chart by identifying the information listed on the left with the user’s need to know the information. Identify the information as one of the following:

a. Need to know

b. Helpful to know

c. Not necessary to know

Transcribed Image Text:

Information 1. Expected revenue from the new service. 2. Cost of the franchise fee and recurring fees to be paid to the franchisor. 3. Cash available to Billings, the franchisee, to oper- ate the business after the franchise is purchased. 4. Expected overhead costs of the service outlet. 5. Billings' required return on its investment. Manager User of the Information Stockholders Franchisor