Which of the Following Financial Statements Would Be Most Useful

question 51

Multiple Choice

Which of the following financial statements would be most useful if an analyst wants to know the profitability of a company?

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

---

Definitions:

Productivity Workers

Employees whose output per period of time increases due to improvements in technology or work methods.

Labor Demand

The quantity of workers that employers are willing and able to hire at a given wage rate, reflecting businesses' need for labor.

Labor Supply

The total hours that workers are willing and able to work at a given wage rate, in a given period.

College Degree

A formal certificate or title awarded by an educational institution signifying the completion of a specific course of study at a college or university level.