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how to do financial_research

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ASSIGNMENT
ON
-“ ANALYSIS OF FINANCIAL STATEMENT
BY USING THE TECHNIQUE OF RATIO ANALYSIS”
Between
EASTERN BANK LTD.
&
TRUST BANK LTD.
Guided By:
Mohammed Sohail Mustafa
Lecturer of Finance
Northern University Bangladesh
Submitted By:
A.R.M.FAISAL BIN AZAM
ID: MBA120103299
NORTHERN UNIVERSITY BANGLADESH
-“ANALYSIS OF FINANCIAL STATEMENT


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Introduction
Financial analysis is a tool of financial management. It consists of the evaluation of the financial
condition and operating performance of a business firm, an industry, or even the economy, and
the forecasting of its future condition and performance. It is, in other words, a means for
examining risk and expected return. Data for financial analysis may come from other areas
within the firm, such as marketing and production departments, from the firm‘s own accounting
data, or from financial information vendors such as Bloomberg Financial Markets, Moody‘s
Investors Service, Standard & Poor‘s Corporation, Fitch Ratings, and Value Line, as well as from
government publications, such as the Federal Reserve Bulletin. Financial publications such as
Business Week, Forbes, Fortune, and the Wall Street Journal also publish financial data
(concerning individual firms) and economic data (concerning industries, markets, and
economies), much of which is now also available on the Internet. Within the firm, financial
analysis may be used not only to evaluate the performance of the firm, but also its divisions or
departments and its product lines. Analyses may be performed both periodically and as needed,
not only to ensure informed investing and financing decisions, but also as an aid in implementing
personnel policies and rewards systems. Outside the firm, financial analysis may be used to
determine the creditworthiness of a new customer, to evaluate the ability of a supplier to hold to
the conditions of a long-term contract, and to evaluate the market performance of competitors.
Who uses these analyses?
Financial statements are used and analyzed by a different group of parties, these groups consists
of people both inside and outside a business. Generally, these users are:
A. Internal Users: are owners, managers, employees and other parties who are directly
connected with a company:
1. Owners and managers require financial statements to make important business decisions that
affect its continued operations. Financial analysis is then performed on these statements to
provide management with more detailed information. These statements are also used as part of
management's report to its stockholders, and it form part of the Annual Report of the company.
2. Employees also need these reports in making collective bargaining agreements with the
management, in the case of labour unions or for individuals in discussing their compensation,
promotion and rankings.
B. External Users: are potential investors, banks, government agencies and other parties who
are outside the business but need financial information about the business for numbers of
reasons.
-“ANALYSIS OF FINANCIAL STATEMENT


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ASSIGNMENT ON -"ANALYSIS OF FINANCIAL STATEMENT BY USING THE TECHNIQUE OF RATIO ANALYSIS" Between EASTERN BANK LTD. & TRUST BANK LTD. Guided By: Mohammed Sohail Mustafa Lecturer of Finance Northern University Bangladesh Submitted By: A.R.M.FAISAL BIN AZAM ID: MBA120103299 NORTHERN UNIVERSITY BANGLADESH Introduction Financial analysis is a tool of financial management. It consists of the evaluation of the financial condition and operating performance of a business firm, an industry, or even the economy, and the forecasting of its future condition and performance. It is, in other words, a means for examining risk and expected return. Data for financial analysis may come from other areas within the firm, such as marketing and production departments, from the firm's own accounting data, or from financial information vendors such as Bloomberg Financial Markets, Moody's Investors Service, Standard & Poor's Corporation, Fitch Ratings, and Value Line, as well as from government publications, such as the Federal Reserve Bulletin. Financial publications such as Business Week, Forbes, Fortune, and the Wall Street Journal also publish financial data (concerning individual firms) and economic data (concerning industries, markets, and economies), much of which is now also available on the Internet. Within the firm, financial analysis ...
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