The external users of the accounting data are the people outside of business, who have an interest in the performance of the business. They include investors, suppliers, creditors, customers, banks and government.
Work Step by Step
Suppliers, creditors and banks have an interest in the performance of the business to assess the credibility mostly. Investors try to assess how profitable a firm is by looking at the accounting data. And the government is interested to find out the amount of tax and subsidy.