From the balance sheet of a company, it is possible to

1. The question asks what can be understood from a company's balance sheet. 2. A balance sheet is a financial statement that reports a company's assets, liabilities, and shareholders' equity at a specific point in time. 3. It follows the fundamental accounting equation: Assets = Liabilities + Shareholders' Equity. 4. Option (A) and (B): Profitability is primarily assessed through the Income Statement (Profit and Loss Account), which shows revenues, expenses, and profit over a period. While the balance sheet provides context (e.g., assets used to generate profit), it doesn't directly show the extent of profitability. 5. Option (C): The balance sheet explicitly lists what the company owns (assets) and what it owes (liabilities), detailing their composition (e.g., current vs. non-current) and overall size (total value). This statement accurately describes the purpose of a balance sheet. 6. Option (D): While debts (a form of liability) and assets are shown on the balance sheet, market share is a market position indicator and not part of the standard financial statements like the balance sheet. 7. Therefore, a balance sheet primarily allows one to determine the size and composition of the assets and liabilities of the company.