THE ROLE OF ACCOUNTING RATIO ANALYSIS IN MEASURING FINANCIAL PERFORMANCE OF A FIRM AND AIDING INVESTMENT DECISIONS
919 marked this research material reliable.
Call or whatsapp: +2347063298784 or email: info@allprojectmaterials.com
THE ROLE OF ACCOUNTING RATIO ANALYSIS IN MEASURING FINANCIAL PERFORMANCE OF A FIRM AND AIDING INVESTMENT DECISIONS
PROJECT TOPICS AND MATERIALS ON THE ROLE OF ACCOUNTING RATIO ANALYSIS IN MEASURING FINANCIAL PERFORMANCE OF A FIRM AND AIDING INVESTMENT DECISIONS
CHAPTER ONE
1.1 Background to The Study
The financial statement of the firm
at the end of the annual year provides a more significant tool of analyzing
information to facilitate in making useful business and investment decision.
This can be achieved through the use of accounting ratio analysis. Accounting
ratios facilitates the determination of the efficiency and profitability of a
firm which is fundamental for investment decisions based on the firm’s
financial reports. Accounting ratio facilitate the comparison of two aspects of
a financial statement. Some example of accounting ratios include the dividend ratio, gross
margin ratio, debt-to-equity ratio, and operating margin ratio. The relevance
of this ratio for investment decisions depends on the currency of the data in
the financial statement. The statement used for accounting ratio analysis is the
annual financial report of a firm which consists of three financial statements: the balance
sheet, income statement and cash flow statement. The analysis conducted in each
of this statement provides the vital information required regarding the financial
performance of the firm for making sound investment decisions. Analysts
therefor depend on the use of the
financial statements to provide the data needed to update accounting ratios.
According to Igben (1999:423), “Accounting {or financial} ratio consist of the
fraction, proportion or percentage which compare the relationship between one
variable item in a set financial statements with another item in the financial
statements. Consequently, Accounting ratios are vital for the analysis and
interpretation of financial statements”.
The research therefore seeks to investigate the role of accounting ratio
analysis in measuring financial performance of a firm and aiding investment
1.2 Statement of the Problem
The need to determine the financial performance of the firm
is crucial for making informed decisions concerning the further deployment of
resources and investment decisions. This can only be done through accounting
ratio analysis. Eventually this is not often an easy task to undertake as many
investors and business owners lack the understanding and skill to perform
accounting ratio analysis. Accounting ratios facilitates the determination of
the efficiency and profitability of a firm which is fundamental for investment
decisions based on the firm’s financial reports. Accounting ratio facilitate
the comparison of two aspects of a financial statement. Some example of
accounting ratios include the dividend
ratio, gross margin ratio, debt-to-equity ratio, and operating margin ratio.
The relevance of this ratio for investment decisions depends on the currency of
the data in the financial statement. The statement used for accounting ratio
analysis is the annual financial report of a firm which consists of three financial statements: the balance
sheet, income statement and cash flow statement. The analysis conducted in each
of this statement provides the vital information required regarding the
financial performance of the firm for making sound investment decisions.
Analysts therefor depend on the use of
the financial statements to provide the data needed to update accounting
ratios. According to Igben (1999:423), “Accounting {or financial} ratio consist
of the fraction, proportion or percentage which compare the relationship
between one variable item in a set financial statements with another item in
the financial statements. Consequently, Accounting ratios are vital for the
analysis and interpretation of financial statements”.
Therefore, the problem confronting the research is the role of accounting ratio
analysis in measuring financial performance of a firm and aiding investment
1.3 Objectives of the Study
1.
To
determine the role of accounting ratio analysis in measuring financial
performance of a firm and aiding investment.
2.
To examine the relevance of accounting
ratio analysis in the determination of financial performance of a firm and
investment decision.
DOWNLOAD COMPLETE WORK FOR THE ROLE OF ACCOUNTING RATIO ANALYSIS IN MEASURING FINANCIAL PERFORMANCE OF A FIRM AND AIDING INVESTMENT DECISIONS
Additional Information
- The Project Material is available for download.
- The Research material is delivered within 15-30 Minutes.
- The Material is complete from Preliminary Pages to References.
- Well Researched and Approved for supervision.
- Click the download button below to get the complete project material.
Frequently Asked Questions
In-order to give you the best service available online, we have compiled frequently asked questions (FAQ) from our clients so as to answer them and make your visit much more interesting.
We are proudly Nigerians, and we are well aware of fraudulent activities that has been ongoing in the internet. To make it well known to our customers, we are geniune and duely registered with the Corporate Affairs Commission of the republic of Nigeria. Remember, Fraudulent sites can NEVER post bank accounts or contact address which contains personal information. Free chapter One is always given on the site to prove to you that we have the material. If you are unable to view the free chapter 1 send an email to
info@researchcub.info with the subject head "FREE CHAPTER 1' plus the topic. You will get a free chapter 1 within an hour. You can also
check out what our happy clients have to say.
Students are always advised to use our materials as guide. However, if you have a different case study, you may need to consult one of our professional writers to help you with that. Depending on similarity of the organization/industry you may modify if you wish.
We have professional writers in various disciplines. If you have a fresh topic, just click
Hire a Writer or click here to fill the form and one of our writers will contact you shortly.
Yes it is a complete research project. We ensure that our client receives complete project materials which includes chapters 1-5, full references, questionnaires/secondary data, etc.
Depending on how fast your request is acknowledged by us, you will get the complete project material withing 15-30 minutes. However, on a very good day you can still get it within 5 minutes!
What Clients Say
Our Researchers are happy, see what they are saying. Share your own experience with the world.
Be polite and honest, as we seek to expand our business and reach more people. Thank you.
Patrick
Student
All Project Materials is a website I recommend to all student and researchers within and outside the country. The web owners are doing great job and I appreciate them for that. Once again welldone.
Keneth
Student
Thank you for everything you have done so far; my communication with you, both by e-mail and whatsapp, has been the only positive point about the whole experience - you have been reliable and courteous in my research work and I sincerely appreciate that.
Mike Olan
Student
You are well rated. Thank you for your being prompt and activeness.
Adedayo
Student
I have been using you people for some time and I can say that you are good because you give me what I want, you don't disappoint. You guys to keep to the standard. You are highly recommended to serve more Researchers.
Ndubuisi
Student
I love all project materials / researchcub.
There are good and wonderful. Nice Work!
People also search for:
the role of accounting ratio analysis in measuring financial performance of a firm and aiding investment decisions, role, accounting, ratio project topics, researchcub.info, project topic, list of project topics, project topics and materials, research project topics, covid-19 project materials, all project topics, journals, books, Academic writer, banking and finance project topics.
A Research proposal for the role of accounting ratio analysis in measuring financial performance of a firm and aiding investment decisions:
Reviews: A Review on the role of accounting ratio analysis in measuring financial performance of a firm and aiding investment decisions, role, accounting, ratio project topics, researchcub.info, project topic, list of project topics, research project topics, journals, books, Academic writer.
The financial statement of the firm at the end of the annual year provides a more significant tool of analyzing information to facilitate in making useful business and investment decision. This can be achieved through the use of accounting ratio analysis. Accounting ratios facilitates the determination of the efficiency and profitability of a firm which is fundamental for investment decisions based on the firm’s financial reports... banking and finance project topics
THE ROLE OF ACCOUNTING RATIO ANALYSIS IN MEASURING FINANCIAL PERFORMANCE OF A FIRM AND AIDING INVESTMENT DECISIONS