what is a ratio analysis? please explain me the differnet
kinds of ratios in detail?
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Answer Posted / siddu thuppathi (9395397010)
Ratio Analysis is a simple mathematical expression. R.A. is the technique of interpretation of the financial statement.
It is a numeric and mathematic relation ship between two figures.
TYPES OF RATIO ANALYSIS::[ (TFL)+PC ]
(1)TURN OVER RATIO (T)
(2)FINANCIAL RATIO (F)
(3)LEVERAGE RATIO (L)
(4)PROFITABILITY RATIO (P)
(5)COVERAGE RATIO (C)
NOTE : (EASY WAY TO REMEMBER) [ (TFL)+PC ]
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