INFLUENCE OF FINANCIAL INFORMATION ON THE MANAGEMENT SYSTEM OF THE COMPANY

Abstract

A study of the features of the influence of financial information on the company's management system has been carried out. Financial reporting information plays an important role in many types of decisions made by firms and their stakeholders. However, the success of the actions taken on the basis of these decisions depends, among other things, on the quality of the accounting information. To be useful for decision making, accounting information must be accurate, truthful, and reliable. On the one hand, he must adhere to generally accepted standards in order to get a reliable and objective view of the company's activities. On the other hand, in real life situations, a certain flexibility is needed in the choice of accounting policies that maximize the benefits for the firm. One area that needs to be reconciled in the process is the different approach to long-term assets in tax accounting and in financial reporting. The information support system (information system) of financial management is a continuous and purposeful selection of relevant information indicators required for implementation. It is determined that the information support system (information system) of financial management is a continuous and targeted selection of the relevant information indicators necessary for implementation. The most important financial information required in the business decision process has been proven to come from the accounting department. Good management must include two criteria: security (liquidity, financial soundness and debt) and efficiency (profitability). In order to improve the use of financial information in the context of the decision-making process, we need to analyze financial statements. It has been found that financial information can be very useful for assessing the current quality of a business and making an assumption about a more successful business in the future. The accounting information system prepares a full range of different information for different users. We can measure and study the business quality of an entire company based on accounting and financial information. In this context, we consider a true and fair presentation of financial condition, business performance and cash flows. A successful business is a business transaction that, over a sufficiently long period, leads to an appropriate level of business security and efficiency.