Tracking business expenses primarily assists in which of the following areas?

Tracking business expenses primarily assists in financial analysis because it provides crucial insights into the financial health of a business. When a company monitors its expenses, it can identify spending patterns, assess profitability, and determine where to cut costs or allocate resources more efficiently. Financial analysis relies heavily on accurate records of income and expenses, as this information is essential for creating budgets, forecasting future financial performance, and making strategic decisions.

Understanding expenses also helps in compliance with tax regulations and in generating accurate financial statements, which are vital for stakeholders such as investors, creditors, and management. In contrast, aspects like employee training, inventory management, and product development, while important, do not directly benefit from expense tracking in the same fundamental way that financial analysis does.