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Which objective of financial statements provides information about the earning potentials of a business?
  • a)
    To provide reliable financial information about economic resources and obligations of a business enterprise.
  • b)
    To provide reliable information about the net resources of an enterprise.
  • c)
    To provide financial information that assists in estimating the earning potentials of a business.
  • d)
    To provide other needed information about changes in economic resources or obligations.
Correct answer is option 'C'. Can you explain this answer?
Most Upvoted Answer
Which objective of financial statements provides information about the...
One of the objectives of financial statements is to provide financial information that assists in estimating the earning potentials of a business. This information helps shareholders, potential shareholders, and other interested parties to assess the profitability and future prospects of the business.
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Which objective of financial statements provides information about the earning potentials of a business?a)To provide reliable financial information about economic resources and obligations of a business enterprise.b)To provide reliable information about the net resources of an enterprise.c)To provide financial information that assists in estimating the earning potentials of a business.d)To provide other needed information about changes in economic resources or obligations.Correct answer is option 'C'. Can you explain this answer?
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Which objective of financial statements provides information about the earning potentials of a business?a)To provide reliable financial information about economic resources and obligations of a business enterprise.b)To provide reliable information about the net resources of an enterprise.c)To provide financial information that assists in estimating the earning potentials of a business.d)To provide other needed information about changes in economic resources or obligations.Correct answer is option 'C'. Can you explain this answer? for B Com 2024 is part of B Com preparation. The Question and answers have been prepared according to the B Com exam syllabus. Information about Which objective of financial statements provides information about the earning potentials of a business?a)To provide reliable financial information about economic resources and obligations of a business enterprise.b)To provide reliable information about the net resources of an enterprise.c)To provide financial information that assists in estimating the earning potentials of a business.d)To provide other needed information about changes in economic resources or obligations.Correct answer is option 'C'. Can you explain this answer? covers all topics & solutions for B Com 2024 Exam. Find important definitions, questions, meanings, examples, exercises and tests below for Which objective of financial statements provides information about the earning potentials of a business?a)To provide reliable financial information about economic resources and obligations of a business enterprise.b)To provide reliable information about the net resources of an enterprise.c)To provide financial information that assists in estimating the earning potentials of a business.d)To provide other needed information about changes in economic resources or obligations.Correct answer is option 'C'. Can you explain this answer?.
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