Who is the income statement designed to inform?
A) creditors
B) investors
C) lenders
D) all of these

Question

Quizplus · Accepted Answer

The income statement is designed to inform all parties interested in a company's financial performance, including creditors, investors, and lenders. It provides information about the company's revenue, expenses, and profits over a period of time, typically a quarter or a year. This information is used by various stakeholders to assess the company's financial health and make decisions about investing, lending, or extending credit.

Who Is the Income Statement Designed to Inform