Which of the Following Financial Statements Would Be Most Useful

question 178

Multiple Choice

Which of the following financial statements would be most useful if an analyst wants to know the likelihood of repayment of business debts?

• A) income statement
• B) balance sheet
• C) statement of owner's equity
• D) statement of cash flows

---

Definitions:

Prefrontal Cortex

A region of the frontal lobe of the brain implicated in a variety of complex behaviors, including planning, decision making, and moderating social behavior.

Temporal Lobes

Sections of the brain located on each side of the brain responsible for processing auditory information and are involved in memory, speech, and emotion.

Short-term Memories

The component of memory where small amounts of information can be stored for a short duration, typically for seconds to minutes.

Proactive Interference

A phenomenon where old memories inhibit the ability to remember new information.