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Why do analysts calculate financial ratios?
Ratios are comparative measures. For the reason that the ratios show relative value, they permit financial analysts to compare information that couldn't be compared in its raw form. For instance, ratios perhaps used to compare one ratio to a related ratio, a firm's performance toward management's goals, a firm's present and past performance, or a firm's performance to alike firms
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Q. Show Social and Regulatory Factors? Regulatory climate and legislation against the environmental degradation may impair the profitability of the industry. Price control, vol
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