Tag Archives: Financial statements

Efficiency ratios

We discussed the importance of financial ratios along with their limitations for financial analysis purposes. After having described profitability ratios we can have an insight on efficiency ratios. This kind of ratios aims at measuring how successfully the resources of … Continue reading

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Income statement and cash flow

Income statement is a way to understand whether a business is profitable or not over a period of time. It measures the inflows of revenues (assets) and the outflows of expenses incurred in the attempt of producing revenue. The difference … Continue reading

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