Which of the following statement(s) describe the principal reason(s) why investors and creditors use financial statement analysis? 1. To assess the risks associated with expected returns
2) To establish recommended dividend and interest payments
3) To evaluate top and middle level management
4) To predict the amount of expected returns
A) 1 and 2
B) 3 and 4
C) 1 and 4
D) 1, 2, and 3

Question

Quizplus · Accepted Answer

Investors and creditors primarily use financial statement analysis to assess risks and predict expected returns, which helps them make informed decisions about investing or lending.

Which of the Following Statement(s) Describe the Principal Reason(s) Why