Future profitability based on past profitability


Question: Which of the following is not an example of a decision or informed judgment that a potential investor would make from accounting information?

- Future profitability based on past profitability.

- Probability of success of a new product development.

- A forecast of dividends.

- Assessment of risk that a company may have more debt than it can repay if the economy enters a recession.

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Accounting Basics: Future profitability based on past profitability
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