August 2020
Beginner
114 pages
2h 18m
English
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CHAPTER 2
Analysis of Financial Statements
The Goals of Financial Analysis
Now we know that a typical Income Statement and Balance Sheet looks like this:
Figure 20
Exactly what can we hope to accomplish by analyzing the financial aspects of a firm?
With the help of financial analysis, we can take investment and management decisions. Sometimes, answers will not be very clear. But we will get a lot of red flags. Both insiders and outsiders have a common goal of attempting to identify the strengths and weaknesses of the firm. While external stakeholders can also conduct a similar financial analysis, the exercise will be more robust for managers, ...
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I'm always learning. So when I got on to O'Reilly, I was like a kid in a candy store. There are playlists. There are answers. There's on-demand training. It's worth its weight in gold, in terms of what it allows me to do.