Question

One of the ways to analyze a company's financial performance is to compare its performance with those of:

a) The government
b) Competitor companies
c) Nonprofit organizations
d) The stock market

Answer 1

One of the ways to analyze a company's financial performance is by comparing it with the performance of competitor companies and the stock market. The correct options are b and d.

Step-by-step explanation:

One of the ways to analyze a company's financial performance is by comparing it with the performance of competitor companies and the stock market. By comparing a company's financial ratios, profitability, and growth to those of its competitors, we can gain insights into its relative performance in the industry.

Additionally, comparing a company's stock price and market performance to broader market indices, such as the Dow Jones Industrial Average or the Standard & Poor's 500, can provide further understanding of its financial health and performance.

Hence, Options b and d are correct.