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Business policy and strategy and financial ratio analysis

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Discuss what needs to be completed, besides the calculation and interpretation of ratios, to complete an effective financial ratio analysis. 200-300 words.

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The response addresses the queries posted in 519 words with references.

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The response addresses the queries posted in 519 words with references.

//Ratio analysis is an important tool to measure profitability of any company, which evaluates its financial position and performance. In this paper, we will be discussing the methods that can be used by the company to assess the ratio analysis other than the calculation and interpretation of ratios as trend analysis, comparison of the ratios with industry norms and comparison with key competitors. These following methods will help the company to know the efficiency and sustainability of company in the market. //

Ratio Analysis: Ratio analysis expresses the numerical relationship between two variables for interpretation of financial position of the company. Ratio analysis helps the company and stakeholders to identify the liquidity, profitability, leverage and efficiency of the company. It assists the management in ...

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  • MBA (IP), International Center for Internationa Business
  • BBA, University of Rajasthan
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