130. Use and interpretation of financial measurementsShown below various financial measurements : 1267483
130. Use and interpretation of financial measurements
Shown below are various financial measurements for two companies which are similar in size and sell similar products:
131. Evaluating the adequacy of net income
Assume that Delta Corp. earns net income of $1,000,000 in the current year. Identify two important factors that investors should consider in evaluating the reasonableness of this dollar amount. Explain what investors may learn from each of these considerations.