Question

What do financial statements reveal when expressed in terms of related figures or compared with standards?

a.

They lose significance and meaning.

b.

They provide facts or trends for taking various financial decisions.

c.

They become irrelevant for corporate management.

d.

They focus only on the closing balances of assets.

Answer: (b).They provide facts or trends for taking various financial decisions. Explanation:Financial statements, when analyzed and interpreted systematically, provide valuable insights into a firm's performance and aid in making informed financial decisions for corporate management.

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Q. What do financial statements reveal when expressed in terms of related figures or compared with standards?

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