Business Strategy and Environment Analysis

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Questions and Answers

Who are responsible for protecting the shareholders' interests by overseeing the company's activities?

  • Labor unions
  • Lenders
  • Directors (correct)
  • Regulators

What is the primary purpose of business analysis and financial statement analysis for directors?

  • To aid in fulfilling oversight responsibilities (correct)
  • To make investment decisions
  • To evaluate the performance of labor unions
  • To negotiate with regulators

Which group is interested in a company's long-term performance to ensure continuous supply of spare parts and service?

  • Labor unions
  • Customers (correct)
  • Lenders
  • Regulators

Who uses financial statement analysis to audit tax returns and perform regulatory duties?

<p>Regulators (A)</p> Signup and view all the answers

What do labor unions leverage on in collective bargaining negotiations?

<p>Business performance (C)</p> Signup and view all the answers

Who are interested in a company's contribution to the local community and corporate social responsibility?

<p>The public (C)</p> Signup and view all the answers

What is the primary purpose of financial statement analysis for regulators?

<p>To audit tax returns and perform regulatory duties (A)</p> Signup and view all the answers

Who can benefit from using financial statement analysis to evaluate a company's performance?

<p>Multiple stakeholders, including directors, regulators, and labor unions (B)</p> Signup and view all the answers

What do directors use to evaluate the effectiveness of management decisions?

<p>Business analysis and financial statement analysis (A)</p> Signup and view all the answers

What is the primary purpose of financial statement analysis for labor unions?

<p>To aid in collective bargaining (A)</p> Signup and view all the answers

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