Analysis of financial statements is directed at two characteristics of a company, liquidity and profitability. Agree or Disagree. Explain.I disagree with the statement. Analysis of financial statements should be directed at three characteristics of a company, liquidity, profitability, and solvency. Liquidity measures a company’s capacity to pay its obligations as they come due. A short-term creditor, such as a bank, is primarily interested in liquidity. Profitability measures the company’s ability to generate a return on its resources for a given period of time. Solvency measures the ability of
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