The information in the balance sheet is used to determine all of these EXCEPT
A)liquidity.
B)financial flexibility.
C)profitability.
D)financial strength.

Question

Quizplus · Accepted Answer

The balance sheet provides information about a company's assets, liabilities, and equity. This information is primarily used to determine a company's liquidity, financial flexibility, and financial strength. However, profitability is typically determined using information from the income statement and other financial statements. Therefore, choice C, profitability, is not determined using information from the balance sheet.

The Information in the Balance Sheet Is Used to Determine