Question 1 - The goal of preparing an annual report is to communicate information from a company to its targeted users. (a) What are the basic factors of communication that must be considered in the presentation of this information. (b What communication problems a company faces in preparing the annual report due to the diversity of the users being addressed.

Question 2 - What are two types of information found in an annual report, other than the financial statements and accompanying footnotes, and describe how they are useful to the users of annual report.