Jorge Martinez is thinking about buying an existing printing business and has been carefully studying the records of the business to get a good handle on its historical financial performance. Jorge heard that you are taking a class in entrepreneurship and asks you, “What suggestions do you have for me to make the best use of this financial information (i.e., three years of audited income statements, balance sheets, and statements of cash flow)?” What suggestions would you give Jorge for making the maximum use of the financial statements?

FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
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Jorge Martinez is thinking about buying
an existing printing business and has
been carefully studying the records of the
business to get a good handle on its historical
financial performance. Jorge heard
that you are taking a class in entrepreneurship
and asks you, “What suggestions
do you have for me to make the best use of
this financial information (i.e., three years
of audited income statements, balance
sheets, and statements of cash flow)?”
What suggestions would you give Jorge for
making the maximum use of the financial
statements?

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