Which of the following tools and techniques are the least useful to the financial statement analyst?
A) Financial ratios.
B) Public relations material and pro forma statements prepared by the firm.
C) Trend and structural analysis.
D) Common size financial statements.

Question

Quizplus · Accepted Answer

Public relations material and pro forma statements prepared by the firm can be biased and may not accurately reflect the true financial position and performance of the company. Therefore, they are considered the least useful tools and techniques for financial statement analysis.

Which of the Following Tools and Techniques Are the Least