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WAEC Financial Accounting 2018 Question 1

Question 1

Introduction to Accounting

Investors in a business are mainly interested in the firm's

  1. A.liquidity.
  2. B.debt.
  3. C.management.
  4. D.profitability.
Show the answer and explanation

Answer: D (profitability.)

Explanation

Investors want a return, so they look mainly at profitability.