Financial Analysis

Financial analysis is the process of evaluating an organization's financial performance and position by examining its financial statements, ratios, and other financial data. This assessment involves analyzing income statements, balance sheets, and cash flow statements to gain insights into profitability, liquidity, efficiency, and solvency. Financial analysis helps stakeholders, such as investors, management, and creditors, make informed decisions regarding investments, business operations, and financial strategies. It can also involve comparisons with industry benchmarks or historical performance to identify trends and areas for improvement. Overall, financial analysis is crucial for assessing the viability and stability of a business or investment opportunity.