Most financial statement analysis explores some aspect of a firm's
A)profitability, only.
B)risk, only.
C)value, only.
D)profitability, or its risk, or both.
E)employee turnover.

Question

Quizplus · Accepted Answer

Financial statement analysis can explore both profitability and risk, or even both at the same time. It may also consider other factors such as liquidity, efficiency, and sustainability, which all contribute to the overall value of a company. Therefore, options A, B, and C are too narrow, and option E is irrelevant to financial statement analysis.

Most Financial Statement Analysis Explores Some Aspect of a Firm's