Role of Financial Statement in Investing Decision Making
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Abstract on Role of Financial Statement in Investing Decision Making
Corporate organizations owe a duty to fully disclose mattersconcerning their operations so as to aid investors in makinginvestment decisions because Investment decision makers relyon information obtained from nancial statements to predictfuture rates of return.Financial statement Without the nancial statement, therewill be a problem of how to determine the prot of a company,and evaluation of performance of a company. The generalobective is to ascertain the role of nancial statement ininvestment decision making. The study will be based on surveyand !uestionnaire will be used to gather information. There is atotal population of “# personnel but the sample size is $# using Taro %amane&s formula.Financial statement The methods used in analyzing thisstudy are simple percentage and chi’s!uare. Financial statement We discoveredfrom the test of hypotheses that nancial statement is reliedupon in investment decision making and nancial statementsare useful for forecasting company&s performance. Conclusionwas drawn based on the ndings that nancial statement playsa vital role in investment decision making and recommendsthat no investment decision should be taken without theconsideration of a company&s nancial statements.Financial statement
help these stockholders in decision making. The study will helpin widening knowledge nancial statement in investmentdecision making, it will also make the organization toappreciate the importance of sound nancial statement in theprovision of information necessary for decision making. It willreview the improvement in the organization handling thenancial statement and show e!ually the ways through whichimprovement could be accomplished nally this research wille!ually serve as a reference to students in this noble institutionand other school who may be interested to embark on a furtherresearch study of this nature and above all, report of this studyshall denitely add to e8isting knowledge in researchmethodology.
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