Introduction
Financial statements are prepared with an objective of facilitating decision-making. They play a major role in providing the necessary framework for managerial decisions. Information which the financial statements provide, is not an end in itself and are inadequate to draw meaningful conclusions from it. In fact, financial statements communicate an enterprise's economic events in an aggregate form containing highly abstracted data. The analysis and interpretation of this data are of immense help in decision-making. Financial statement analysis consists the application of analytical tools and techniques to the data in financial statements in order to derive from them measurements and relationships that are significant and useful for decision-making.
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