Answer Posted / anurag
R.A. is a technique for analyse the Performance of the
business concern by getting details from their Accounting
Statements.There are many type of RATIOS and the use of it
also depends on the different users.
For ex. Debt Equity Ratio is more profitable for The
Financial institutions as for getting the details of the
company that how much the equity funds are available for
the each unit of loan provided by the Financial Institution,
And Creditors are more concern about the Liquidity Ratios.
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