Academic Writing

Financial analysis refers to the assessment of an entity’s financial position and performance.

Conducting financial analysis gives the user an enhanced understanding and appreciation of an entity’s financial health. The reported numbers in the financial statements are of limited usefulness, given that they are in absolute dollar amounts. By expressing the numbers in relative terms, the financial statements become more meaningful and useful in evaluating an entity’s past decisions and predicting future rewards and risks.

Give your critical views of the above statement. Among others, in your response you are to include a broad view of the nature and purpose of financial analysis, its limitations and non- financial considerations.

Give 6 references for this

Keahlian: Tulisan tentang Bisnis, Analisa Keuangan, Riset Penulisan

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