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Assignment: Exxon versus Chevron
According to the textbook, the income statement measures the success of a company's operations for a given period. The income statement is important to investors and creditors, because it determines the profitability, investment value, and creditworthiness of a company. Specifically, the income statement helps investors and creditors predict the amounts, timing, and uncertainty of future cash. Income statement preparers can make such informed predictions by analyzing a company's financial statements, calculating the price-earnings ratio, and reviewing notes to the financial statements on the income statement.
In order to complete this assignment, use the Internet to research and review financial statements for Exxon and Chevron for the years 2012 and 2013.
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