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What is ratio analysis?

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Please help answer the following questions in at least 200 words.

What is ratio analysis? What ratios do you think are most valuable to top managers in organizations like General Electric? in Lucy's Organic Chicken Farm? in an international (non-profit) relief organization like Samaritan's Purse?

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Solution Summary

This posting answers questions regarding financial ratios. It defines ratio analysis, explain which ratios are valuable to top managers in organizations like General Electric, Lucy's Organic Chicken Farm and an international, non-profit relief organization like Samaritan's Purse. The explanation is given in 235 words.

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What is ratio analysis?

Ratio analysis is using financial statements to construct financial ratios, which are designed to help one evaluate a financial statement.

What ratios do you think are most valuable to top managers in organizations like General Electric?

Ratios that are most valuable to top managers in General Electric would be the debt management ratios. These ratios are debt ...

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