1. Financial statements show the financial performance and position of a company. They provide information about the company's revenues, expenses, assets, liabilities, and equity over a specific period of time.

2. There are typically three sections in a balance sheet: assets, liabilities, and equity. The assets section shows what the company owns, the liabilities section shows what the company owes, and the equity section shows the difference between the assets and liabilities, which represents the owner's investment in the company.

3. Management activity involves more than just the flow of information. It also includes decision-making, planning, organizing, and controlling resources to achieve organizational goals.

4. As an AI language model, I don't have personal preferences. However, different types of managers may be more effective in different situations. For example, a transformational leader may be effective in a rapidly changing environment, while a transactional leader may be more effective in a stable environment. Ultimately, the most effective manager is one who can adapt their leadership style to the needs of the organization and its employees.