What section of the balance sheet provides information about the claims held by investors?

The section of the balance sheet that provides information about the claims held by investors is Stockholders' equity. This part of the balance sheet represents the net worth of a company, reflecting the residual interest of the owners after all liabilities have been settled. It includes common stock, preferred stock, retained earnings, and additional paid-in capital.

When investors put money into a company, they often do so in exchange for ownership stakes reflected in the stockholders' equity section. This showcases not just the total investment made by the shareholders but also accumulates earnings that have been retained for reinvestment in the business rather than distributed as dividends. Therefore, stockholders' equity effectively summarizes what the investors can claim against the firm's assets after all obligations to creditors have been satisfied.

Other sections, like assets, provide a breakdown of what the company owns, while liabilities represent the obligations the company owes to external parties, neither of which focuses specifically on the claims of investors. Current assets are a subset of assets that include cash and other assets expected to be converted into cash within a year, further emphasizing that stockholders' equity is the correct section that highlights investors' claims.