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27 chapter vi conclusion any decision taken by the

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CHAPTER VI: CONCLUSIONAny decision taken by the stakeholders is based on a set of correct information obtained aboutthe company. The financial statement shows the firm's business activity as well as financialperformance to the concerned parties. In a country like Nepal, the use of financial statements bystakeholders is surely on the rise but it still is limited. While financial reports such as incomestatements, cash flow statements, balance sheets can be extremely useful for making the rightinvestment decision, forecasting the future, and identifying the competency of management theyare fairly limited in Nepal. Financial statements help not only the external stakeholders but tointernal management as they can help highlight areas that provide the best return. For investors,these statements provide a useful picture allowing them to be up-to-date with the company'sfinancial decision, and growth or change in strategy.Through the use of financial statements, stakeholders can get information about the plans of thecompany. Companies are required to publish basic financial information in their annual reportsand some companies also include recent choices or actions they have taken which allowstakeholders to know what to expect from business shortly. Furthermore, financial statements canreveal information about debt, risk investment, and misuse of funds allowing stakeholders to bewary of the company.28
REFERENCESAbbott, M.L. and McKinney, J., 2013.Understanding and applying research design. John Wiley& Sons.AMEDU, M.A., 2012. ROLE OF FINANCIAL STATEMENT IN INVESTMENT DECISIONMAKING.(A CASE STUDY OF FIRST BANK OF NIGERIAN PLC). A Research ProjectSubmitted In Partial Fulfilment Of The Requirement For The Award Of The Bachelor of Science(B. Sc) Degree In Accountancy. Faculty of Management and Social Sciences, Department OfAccountancy, Caritas University Maori Nike Enugu, Nigeria.Bartov, E. and Mohanram, P.S., 2014. Does income statement placement matter to investors? Thecase of gains/losses from early debt extinguishment. The Accounting Review, 89(6), pp.2021-2055.Beer, A. and Faulkner, D., 2014. How to use primary and secondary data. InHandbook ofResearch Methods and Applications in Spatially Integrated Social Science. Edward ElgarPublishing.Bhandari, S.B. and Iyer, R., 2013. Predicting business failure using cash flow statement basedmeasures. Managerial Finance.Blessing, A. and Onoja, E.E., 2015. The role of financial statements on investment decisionmaking: a case of united bank for Africa PLC (2004-2013). European Journal of Business,Economics and Accountancy, 3(2), pp.12-37.Borhade, S., Alsalim, M.A.A. and Mohammed, A.O., 2018. Convergence of IFRS in globalaccounting system: where do SAARC countries stand for?.Carraher, S. and Van Auken, H., 2013. The use of financial statements for decision making bysmall firms.Journal of Small Business & Entrepreneurship,26(3), pp.323-336.

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Term
Summer
Professor
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Tags
Balance Sheet, Pragmatism, SIGNIFICANCE OF FINANCIAL STATEMENT

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