Chapter . Introduction

A controller is responsible for a wide array of functions, such as processing accounts payable and receivable transactions, properly noting the transfer of assets, and closing the books in a timely manner. Properly completing these functions is critical to a corporation, which relies on the accurate handling of transactions and accurate financial statements. These activities clearly form the basis for anyone’s successful career as a controller. However, the outstanding controller must acquire skills in the area of financial analysis in order to be truly successful.

By obtaining a broad knowledge of financial analysis skills and applying them to a multitude of situations, a controller can acquire deep insights into why a company is performing as it does, and can transmit this information to other members of the management team, along with recommendations for improvements that will enhance the corporation’s overall financial performance. By knowing how to use financial analysis tools, a controller can rise above the admittedly mundane chores of processing accounting transactions and make a significant contribution to the management team. By doing so, the controller’s understanding of the inner workings of the entire corporation improves and raises his or her visibility within the organization, which can eventually lead to a promotion or additional chances to gain experience in dealing with other departments. Thus, the benefits of using financial analysis are ...

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