Identifying discontinued items is important if a potential investor is going to use reported profit to estimate a company's value.

Question

Quizplus · Accepted Answer

Discontinued items can have a significant impact on a company's reported profit, and if an investor is using this profit to estimate the company's value, it is important to identify these items to get an accurate picture of the company's financial health.

Identifying Discontinued Items Is Important If a Potential Investor Is