Which of the following can you determine by analyzing the balance sheet and income statements?

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Analyzing the balance sheet and income statements provides valuable insights into a company's financial performance and overall health. Specifically, annual revenue trends and net income growth can be directly assessed through these financial statements.

The income statement details the company's revenues and expenses over a specific period, allowing for the evaluation of revenue growth from year to year. By comparing income statements from different periods, one can identify trends in revenue, expense management, and ultimately how these factors contribute to net income growth.

The balance sheet complements this analysis by providing a snapshot of the company's financial position at a specific point in time, displaying assets, liabilities, and equity. While the balance sheet does not directly show income trends, it can offer context regarding the financial stability and resources available to support revenue generation and profitability.

In contrast, the other choices focus on aspects that are not quantifiable through balance sheets or income statements. Employee satisfaction rates, market share, and employee turnover are qualitative measures and require different methods of assessment, such as employee surveys or market research. Thus, these other options do not provide the numerical data needed to gauge financial performance and trends as effectively as the correct answer does.

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