Abstract
The study examined financial statement as a tool for evaluating performance of companies’ investment decision. Data for the study were obtained from the primary source. Hypotheses were formulated and tested using chi-square. Based on the analysis the researcher found out that decision to invest or not is mostly based on the amount of reserves with a company at a particular point in time. From the analysis, the researcher discovered that ratio analysis is an effective instrument that aids in making investment decision when it attracted 76% in the responses to the questionnaire. It was equally discovered that the most important reason why investment decision is required is actually for goal actualization. This is because from the questionnaire, the researcher recorded a high response of 41% among other three. Based on the findings the researcher recommends that In analyzing the income statement, the user should be cognizant with the uncertainties surrounding the computation of net income. Bond-holders should use long-term indicators, such as the enterprises capital structure, past and projected earnings and change in financial position. Management should use other-ratio decision making techniques to confirm the reliability of computed ratios
STATEMENT OF THE PROBLEM
Within Oyo State's Afijio Local Government Area, the town of Awe is the co...
EXCERPT FROM THE STUDY
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BACKGROUND TO THE STUDY
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