Measuring business performance, Finance Basics

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Measuring Business Performance

Definition

Financial analysis is a process via that finance identifies the company's financial performances with comparing the entities in the balance sheet and those in the loss and profit account (P&L). This since of balance sheet entities are generally responsible for those to be found in the P&L that is assets shown in the balance sheet are reason for sales, expenses and revenue to be found in the P&L.  This investigation is significant to various parties along with a financial stake in the company.


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