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  • Financial Management Activity No 4

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    Emmalyn Joyce Salazar
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    Financial analysis is important for businesses to evaluate performance and make informed decisions. There are two main types - corporate financial analysis examines a company's financials to assess business operations, while investment analysis focuses on potential returns. Ratio analysis provides insights but has limitations, such as not reflecting qualitative factors. For potential investments, ratio analysis would be most useful as a future business owner to objectively evaluate performance and risks.

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    Financial analysis is important for businesses to evaluate performance and make informed decisions. There are two main types - corporate financial analysis examines a company's financials to assess business operations, while investment analysis focuses on potential returns. Ratio analysis provides insights but has limitations, such as not reflecting qualitative factors. For potential investments, ratio analysis would be most useful as a future business owner to objectively evaluate performance and risks.

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    9 views1 page

    Financial Management Activity No 4

    Uploaded by

    Emmalyn Joyce Salazar
    Financial analysis is important for businesses to evaluate performance and make informed decisions. There are two main types - corporate financial analysis examines a company's financials to assess business operations, while investment analysis focuses on potential returns. Ratio analysis provides insights but has limitations, such as not reflecting qualitative factors. For potential investments, ratio analysis would be most useful as a future business owner to objectively evaluate performance and risks.

    Copyright:

    © All Rights Reserved
    Download as DOCX, PDF, TXT or read online from Scribd
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    of 1

    Name: Date: January 12, 2023

    Section:

    Financial Management
    Activity No. 4

    Direction: Answer the following questions in essay form with at least four sentences per
    answer. (Any format will do)

    1. Explain the importance of financial analysis to businesses.


    2. Differentiate corporate financial analysis from investment financial analysis.
    Expound.
    3. Explain the advantages and disadvantages of ratio analysis.
    4. As a future professional/business owner, which type of financial analysis would
    you like to use when it comes to analyzing an investment? Explain your answer.

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