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What is meant by saying that accounting information should be ?decision useful'?

   
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Title: What is meant by saying that accounting information should be ?decision useful'?
 
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Subject: Business
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Date: January 1, 1997
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As the lenders, such as the banks, are concerned with earning returns and for a secured investment, they will in particularly look at the amount of assets ? cash and those that will soon be converted to cash, and to "compare it against the liabilities falling due in the future" ( Kloot et al...
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28). For a ?protection buffer' for the bank should there be any losses in the entity that borrows, the bank will notice the amount of ownership capital (Kloot et al., 1992). Suppliers and other trade creditors use the financial information to rate the ability to achieve their objectives of maximising the ?rate of return on funds supplied' (Whittred et al, 2004)...
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