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Posted: April 20th, 2022
Why do we need different tools for analyzing the financial statements? Don’t the numbers in the financial statements speak for themselves?
1- What is the concept of sustainable income? Please describe it in your own words. Can you give an example of what this number may look like by using the income statement of a real-life company?
2-There are different tools for analyzing the financial statements of a company, such as horizontal analysis, vertical analysis, ratios for measuring financial health and profitability, and so forth. Before we begin using these tools, however, it is important to know the purpose of each tool.
Why do we need different tools for analyzing the financial statements? Don’t the numbers in the financial statements speak for themselves?
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Why do we need so many different tools to analyze financial statements? Aren’t the numbers in the financial statements self-explanatory?
1- What is the meaning of the term “sustainable income”? Please explain in your own words. Can you provide an example of how this number might appear on an income statement from a real-world company?
2-There are various tools for analyzing a company’s financial statements, such as horizontal and vertical analysis, ratios for measuring financial health and profitability, and so on. However, before we begin using these tools, we must first understand their purpose.
Why do we need so many different tools to analyze financial statements? Aren’t the numbers in the financial statements self-explanatory?
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