Ratio Analysis : The word suggest that the proportion of one thing to other, Ratios are categorized in many category and each category has its own importance like
Profitability Ratio: This ratio can help to understand hows company's financial position.
Market related Ratios: This ratio help to understand how much investors are earning by investing in investment
Activity Ratio: This ratio help to understand is company able to mange its day to day activity efficiently like payment to debtors, conversion of inventory. operating cycle of the business.
1)Investors can take decision whether to invest in to the company or not
2) Some ratios help to make prediction about the future of company's financial health so that they can take decision whether to deal with company or not?
3) Creditors able to understand whether company will able to make future payment
4) bank able to measure is company able to pay credit in time
5) The management able to track the activities so that they take immediately steps to control
Ratio Analysis = Current Asset / Current Liabilities
advantages and disadvantages of transactional technique
The ratio analysis is useful for inter firm comparison which basically implies that a company compares its performance with that of its industry peers. Ratio analysis is very important in simplifying the accounting figures to make then understandable to a common man.
Marketability is a characteristic that is not generally evaluated in ratio analysis.
(1) Would like to know more about the following question " nature of ratio Analysis" i would be glad to get a better and reasonable answers for that. Question 2. (2) Effect of Inflation on Ratio Analysis. Question 3. Ratios as Measure of performance. Question 4. Performance indicators.
what is ratio analysis
scope of ratio analysis
Ratio Analysis = Current Asset / Current Liabilities
Ratio Analysis = Current Asset / Current Liabilities
How dose the cost income ratio is calculated in the banking model?
ratio analysis
Advantages of data warehousingOne consistent data store for reporting, forecasting, and analysisEasier and timely access to dataImproved end-user productivityImproved IS productivityReduced costsScalabilityFlexibilityReliabilityCompetitive advantageTrend analysis and detectionKey ratio indicator measurement and trackingDrill down analysisProblem monitoringExecutive analysis.
What ratio or other financial statement analysis technique will you adopt for this.
1.Commansize Balence sheet analysis 2.Comparative Balence sheet analysis 3.Trend analysis 4.Ratio Analysis
Importance of financial ratio analysis on investment decision making?
advantages and disadvantages of transactional technique
advantages of the strain rosette analysis