Financial statement analysis may be used for personal financial investment decisions.

Question

Quizplus · Accepted Answer

Financial statement analysis can provide valuable insights into the financial health and performance of companies, which can help individual investors make informed investment decisions. By analyzing financial statements such as balance sheets, income statements, and cash flow statements, investors can assess a company's profitability, liquidity, solvency, and overall financial stability. This information can then be used to determine whether or not to invest in the company's stock, bonds, or other securities.

Financial Statement Analysis May Be Used for Personal Financial Investment