Question

An annual report is furnished by a company to its :

• A. Directors
• B. Auditors
• C. Shareholders
• D. Management

Hint:

Apart from shareholders, the annual report is also accessible to the public; it helps them in the investment decision making.

Answer 1

The Correct Option is C

Purpose and Distribution of the Annual Report:
The annual report is a comprehensive document prepared by a company at the end of each financial year. It provides a detailed overview of the company’s activities, financial performance, and future outlook.
Primary Recipients: Shareholders: These are the owners of the company, and the annual report is a key tool for them to understand how their investment has performed.
The report helps them assess the company’s management and make informed decisions about their investment.