Issues in Banking and Accounting

Book Abstract

Global business has become more competitive than before.The technology and dynamic life increase the opportunities and risks for several firms. Accordingly, financial statements and financial analysis must be developed to assess the company?s performance relative to its past performance or relative to its industrial competitors. The financial statements are annual reports containing essential informa-tion about the firm, including income, cashflows, and current financial condition, illustrating the assets, liabilities, and owners? equity. However, if the financial information is notanalyzed well, it will not help the company?s success and management decision-making. In addition, a firm should be prepared for the uncertainties and opportunities in the future; therefore, the financial analysis can support over sight of the future business.