1 accounting values such as net income are commonly, Ask an Expert

Finance

1. Accounting values such as net income are commonly considered useful for projecting future firm performance because ____________.

analysts look only at accounting statements, and do not understand the difference between accruals and cash flows

accounting rules smooth out cash flows and generally reflect what would be typical of the future

accounting rules bias towards higher valuations, which is better for everyone

it is not possible to estimate a firm's future cash flows, so accruals measures are the only option

2. Variance analysis is a tool used to:

A. Evaluate customer satisfaction B. Evaluate financial performance C. Identify and control product compatibility D. Determine cost ratios

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Financial Management, Finance

Category:- Financial Management
Reference No.:- M92863162

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