Financial statement analysis:
A)Is the application of analytical tools to general-purpose financial statements and related data for making business decisions.
B)Involves transforming accounting data into useful information for decision-making.
C)Helps users to make better decisions.
D)Helps to reduce uncertainty in decision-making.
E)All of the options are correct.

Question

Quizplus · Accepted Answer

All of the options are correct. Financial statement analysis involves the application of analytical tools to general-purpose financial statements and related data for making business decisions. It helps to transform accounting data into useful information for decision-making, helps users to make better decisions, and reduces uncertainty in decision-making.

Financial Statement Analysis