The income statement helps users
A) assess the company's risk.
B) review the impact of economic factors affecting the company.
C) compare and contrast performance against a competitor.
D) All of these answer choices are ways in which the income statement helps users.

Question

Quizplus · Accepted Answer

The income statement provides information on a company's financial performance over a specific period, including revenues, expenses, and profits. This information can help users assess the company's risk by understanding its profitability and stability, review the impact of economic factors on its financial performance, and compare its performance against competitors, making all the provided options correct.

The Income Statement Helps Users