The balance sheet is useful for analyzing all of the following except
A) liquidity.
B) solvency.
C) profitability.
D) financial flexibility.

Question

Quizplus · Accepted Answer

The balance sheet primarily provides information on the company's assets, liabilities, and equity at a specific point in time, and is used to analyze liquidity, solvency, and financial flexibility. However, it does not provide information directly related to profitability, which can be more closely analyzed using the income statement.

The Balance Sheet Is Useful for Analyzing All of the Following