What information included in financial reports do you rely upon most when making investment decisions?

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13-12-2022
Business

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What information included in financial reports do you rely upon most when making investment decisions?

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BhavikaKukreja BhavikaKukreja · Answer 1 · 2022-12-18T16:17:23+01:00

The reports show a company's financial health and success over a specific time period. Financial reports are used to make decisions by management, investors, shareholders, financiers, governments, and regulatory bodies.

Financial reports

Financial statements are used in financial reporting to reveal financial data that demonstrates a company's financial health over a specified time period. Company Financial Reports are formal records that communicate an organization's financial performance to stakeholders such as management, investors, and tax authorities. A Financial Statement is composed of three major components: a Balance Sheet, an Income Statement, and a Cash Flow Statement. There are three types of financial reports. Balance sheets, income statements, and cash flow statements are the three most frequent financial reports. In the next section, I will present them one by one.

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