horizontal comparison of the report structure, find out the major indicators difference with peer companies and analyze the reasons

analyze whether the increase in assets comes from debt or equity (profit or shareholder input)

focus on changes in gross margin and market share

how much cash the company has received in a period of time

analysis the profit and loss of the company over a period of time

make a horizontal comparison of the report structure

focus on changes in the proportion of each asset account, which often reflects changes in the model of the enterprise.

an analysis of the assets, grouped according to the degree of their liquidity

an analysis of the liquidity of its balance sheet

calculation of the drivers/ratios of the business for the historical period

analysis of each element of profit

the solvency of the enterprise

analysis of financial sustainability

the degree of coverage of the enterprise's liabilities with assets

all answers are correct

The current ratio

Net Profit Margin

Return on capital

Quick ratio

accounts payable, settlements on dividends

long-term loans and other long-term liabilities

short-term loans from banks and other loans due for repayment within 12 months

current assets

the amounts for all cash items

assets that require a certain amount of time to circulate in cash

inventories, accounts receivable (payments are expected more than 12 months)

Capital and Reserves

the average number of days it takes a company to collect payment after it makes a sale

average accounts receivable

to compare the amount of cash and investments to short-term liabilities

ability to pay debt obligations and continue business operations