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- How would you analyze the financial statements of a firm? Explain each step thoroughly.
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- What is the importance of financial information in achieving the firm's financial goals and objectives?What types of information do common-size financial statements reveal about the firm? What is the best use for these common-size statements?What role does financial analysis play in a company? Examine a few case studies in detail.
- For measuring the financial risk in the organization, we can use? Select one: a. Cash flows Ratio b. Balance sheet ratios c. Earnings of the company d. All options providedElaborate on how, by analysing a firm’s financial statements, risks can be identified?You want to evaluate the stock of a company. Answer the following questions to guide your analysis analysis and explain what data you rely on and what you do with it? Why are the net assets of the company important? What other indicator does an investor look at when selecting investments?
- In your opinion, what is the most important statement in the financial statements that a financial analyst will use as the reference in assessing the company’s assets and liabilities? Justify your opinion with reason/s.Financial statement analysis is used to evaluate a firm's liquidity position, solvency position, and profitability position. Respond to this statement with supporting arguments.Which of the following financial statements would be most useful if an analyst wants to know the profitability of a company? A. balance sheet B. statement of cash flows C. statement of retained earnings D. income statement