Assignment
On the Financial Statements Analysis Worksheet, address each of the following as completely as possible, using examples and citations when necessary.
• Why are ratios useful? What three groups use ratios, and for what reasons?
• What qualitative factors should analysts look for when evaluating a company's likely future financial performance? Explain.
• You are training a new financial analyst who lacks experience. What are the most critical steps of financial analysis? Why are these steps critical and what will you hope to find?