Basics Beginner: Sources of Company Information

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1.
Net sales measures a company's liquidity.
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False. Net sales measures a company's total cash and credit sales minus any returns or discounts.
2.
To find out about a corporation's primary customers, you should look at ______.
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Form 10K. This form also identifies a corporation's suppliers and competitors.
3.
Investors may wish to find company information from a news report rather than an annual report because it is less time-consuming and more accessible.
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True. Because news is reported daily and in numerous sources, it has this advantage.
4.
Brokerages do not provide company report information.
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False. Brokerages generally do provide company report information.
5.
The amount a company earns from the investments of its shareholders is called return on equity.
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True. Return on equity indicates how well the investments are working for the company.