# Ratio Analysis Homework Help

## Importance of ratio analysis in financial matters

### What does this term signifies?

Ratio analysis is a term used to describe financial relationship between multiple numbers that are common in marketing and business. But it is not always a matter of marketing, general financial issues are also under ratio analysis. You will notice in Ratio Analysis Homework Helpat helpmeinhomework.com that all those comparisons are done between two different numerical subjects. The result that comes out of it is always in percentage. It is an easy process both for calculating and understanding.

### Persons dealing with it:

You will find in Ratio Analysis Homework Help there are three types of individual personality who are found to deal with ratio analysis. They are:

2. Creditors of any institution or organization.
3. Financial dealers and supervisors.

All of these individuals are interested in ratio analysis. But you can understand very easily from Ratio Analysis Homework Help that there are different purposes included in their ways of calculating by this process. In any organization, all owners are interested to calculate by ratio analysis is because it helps in understanding market prices, importance of equipments for empowering their productive qualities, profits found in any dealing etc. Any creditor is interested because it helps them calculate any amount of interests that are found with any type of investments and its possibilities. Financial dealers are interested to measure the amount of earnings.

## Classes of ratio analysis

There are total five classes of ratio analyses. They are, structure based, liquidity based, profitability based, turnover based and miscellaneous based. All these are main genres of this ratio analysis and all of them have subcategories. Some of them are based on capitalization, both fixed and current capitals, equity on debts etc. Learning about them is very easy side-by-side if you have Ratio Analysis Assignment Help as your guide.

### Flaws of this analysis

There are some flaws found with this analysis, they are:

• No matter how easy and adequate this process may seem, the standard of its results are not very much promising in nature.
• Comparing between two different companies and their financial characters are not easy when their sizes are different from each other.
• There are difficult situations involved when there are multiple gross and net profits are handled.
• There is a special technique found in this ratio analysis by the name of window dressing. It hides all results of comparisons from outsiders which is not healthy when comparisons between two organizers are done.

Other than these flaws mentioned above, you will find better solutions found with ratio analysis in practical cases. Come find us at helpmeinhomework.com for a complete Ratio Analysis Assignment Help.

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