Ratio Analysis | Financial Statement Analysis financial analysis

Ratios are an absolutely critical part of financial statement analysis. Ratio analysis allow us to analyze trends in a company’s performance over time, and to compare that performance to the competition. Ratios are usually grouped into 5 categories: (1) profitability ratios (margins and rates of return) (2) short-term liquidity ratios (3) long-term solvency ratios (debt … Read more