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9. To determine the financial health of a company, it is usually essential to study all of the firm's financial statements. Particularly, it is necessary
9. To determine the financial health of a company, it is usually essential to study all of the firm's financial statements. Particularly, it is necessary to study the firm's Sources and Uses Statement. This is because: 1. Sources and Uses Statements cannot hide behind creative accounting, but shows the actual cash flows of the firm. Il. Income Statements can be distorted by accounting practices, even if they follow GAAP. Ill. Balance Sheets don't always show accurate depreciation numbers. IV. Balance Sheets don't usually show liabilities in book value terms. a. All are correct b. None are correct c. Only I and II are correct d. Only II, III, and IV are correct
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