Explain the importance of financial statements in decision-making.

Explanation should include

• the types of financial statements (e.g., profit/loss, cash flow, balance sheet)
• the purpose of each type of financial statement
• ways that financial statements influence business decisions. 

Process/Skill Questions:

• What area of management requires financial statements to make decisions?
• What are the consequences of false information being reported in financial statements?
• What financial information should be included as part of a business plan?
• Why does a marketer need to know the basics of finance?
• What area of management is responsible for preparing financial statements?
• How often are financial statements prepared/updated?