How Many of These Are Possible Uses of Financial Analysis

question 23

Multiple Choice

How many of these are possible uses of financial analysis?
By shareholders to assess future profitability and financial stability
By management for planning and control
By financial analysts to predict future share price
By the government to estimate taxation payable

• A) 1
• B) 2
• C) 3
• D) 4

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Definitions:

Interpersonal Communication

The process of exchange of information, feelings, and meaning between two or more people through verbal and/or non-verbal methods.

Self-Correcting Mechanism

A process through which a system naturally adjusts and corrects its course without external intervention, aiming to maintain equilibrium or improve function.

Probability

The measure of the likelihood that an event will occur, quantified as a number between 0 and 1.

Grapevine

An informal communication network within an organization, characterized by personal conversations and exchanges of information beyond official channels.