Potential investors are interested in both a firm's balance sheet and income statement when evaluating whether or not to invest in a firm.

Question

Quizplus · Accepted Answer

Potential investors are interested in both the balance sheet and income statement as they provide important financial information about a firm's assets, liabilities, revenue, expenses, and profitability. Evaluating both statements can help investors make informed decisions about investing in a particular company.

Potential Investors Are Interested in Both a Firm's Balance Sheet