Shareholders analyse financial statements in order to:
A) assess the cash flows that the company will generate from operations
B) determine the company's profitability, their return for that period, and the dividend they are likely to receive.
C) focus on the value of the shares they hold.
D) All of the above.

Question

Quizplus · Accepted Answer

Shareholders analyse financial statements for multiple purposes, including assessing the company's cash flows, profitability, return on investment, and future dividend payouts. Additionally, shareholders may focus on the value of their shares, using financial statements to determine if the stock price is undervalued or overvalued compared to the company's financial performance. Therefore, all of the options listed in the question are correct, making option D the best choice.

Shareholders Analyse Financial Statements in Order To