Financial statements are essential tools for assessing a company$$s financial health, performance, and liquidity. They provide valuable insights into various aspects of a business, including profitability, cash flow, and financial position. Reflect on the following questions:

What are some common challenges in interpreting financial statements, and how can these challenges be addressed? Consider issues such as accounting practices, financial ratios, and potential discrepancies. Provide examples of best practices or tools that can aid in the accurate analysis of financial statements.