Description
- Discuss how financial ratios facilitate financial analysis, and be able to compute and use them to analyze a firm’s performance.
- Describe the DuPont system of analysis and be able to use it to evaluate a firm’s performance and identify corrective actions that may be necessary.
- Explain what benchmarks are, describe how they are prepared, and discuss why they are important in financial statement analysis.
- What are some qualitative factors analysts should consider when evaluating a company’s likely future financial performance? What are some potential problems and limitations of financial ratio analysis?
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