Accountancy, asked by ponnua5195, 1 year ago

State any two benefits of financial statements

Answers

Answered by utkyo111
2

1. financial statements help you to see a snapshot of your company's financial position

2.You need financial statements to calculate your quarterly state and federal tax obligations.


utkyo111: pp
Answered by hemakumar0116
1

Answer:

To assess a company's capacity for producing cash as well as the sources and use of that cash.

To ascertain if a company has the ability to pay down its obligations.

To monitor financial outcomes over time in order to identify any potential problems with profitability.

Explanation:

To assess a company's capacity for producing cash as well as the sources and use of that cash.

To ascertain if a company has the ability to pay down its obligations.

To monitor financial outcomes over time in order to identify any potential problems with profitability.

They display the company's assets and liabilities. They demonstrate how effective a company's choices have been. Shareholders can assess the performance of their firm since they have access to these disclosures. This further aids in bridging the gap between management failures and owner expectations.

The income statement and balance sheet are the greatest options in this situation since they may be used to create the statement of cash flows.

They display the company's assets and liabilities. They demonstrate how effective a company's choices have been. Shareholders can assess the performance of their firm since they have access to these disclosures. This further aids in bridging the gap between management failures and owner expectations.

The income statement and balance sheet are the greatest options in this situation since they may be used to create the statement of cash flows.

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