QuestionMay 27, 2025

Question 3 of 10 Which of the following questions can a balance sheet help to answer? A. Is the business making the right products? B. Does the business have too many customers? C. Has too much credit been extended? D. Does the business have too many employees?

Question 3 of 10 Which of the following questions can a balance sheet help to answer? A. Is the business making the right products? B. Does the business have too many customers? C. Has too much credit been extended? D. Does the business have too many employees?
Question 3 of 10
Which of the following questions can a balance sheet help to answer?
A. Is the business making the right products?
B. Does the business have too many customers?
C. Has too much credit been extended?
D. Does the business have too many employees?

Solution
4.7(207 votes)

Answer

C. Has too much credit been extended? Explanation 1. Identify the purpose of a balance sheet A balance sheet provides information on a company's assets, liabilities, and equity at a specific point in time. 2. Determine which question relates to balance sheet data The balance sheet can help assess financial health, including whether too much credit has been extended by analyzing liabilities.

Explanation

1. Identify the purpose of a balance sheet<br /> A balance sheet provides information on a company's assets, liabilities, and equity at a specific point in time.<br /><br />2. Determine which question relates to balance sheet data<br /> The balance sheet can help assess financial health, including whether too much credit has been extended by analyzing liabilities.
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