Charles Abbott Provo At basics of financial analysis
Post on: 16 Октябрь, 2015 No Comment
Bio
Financial analysis. according to Charles Abbott Provo it will surprise some, is not only
the study of the company’s accounts. This is the overall analysis of its
situation and prospects.
Have an inquiring mind is recommended. The financial analysis uses
three musts. three main qualifications:
Accounting knowledge.
= > Not necessarily on how to record each transaction but
on understanding those used to establish the accounts
Synthesis (balance sheet, income statement and some other documents).
Economy and knowledge management,
= > The how it works behind the numbers
And finally, the detective dog qualities.
= > To identify and sniffing in dark corners.
a delay of payment of bills )
pi- pi-arrig.gif arrig.gif what is the capacity of
the company’s
reimburse the deadlines?
This section provides evidence that can guide you on these aspects.
Either to better start your analysis or to better analyze the analyzes.
As you read in the media and brokers.
These articles will give you a description of:
- * Points to remember in an analysis of the company’s situation
- ( but may not be exhaustive )
- * And also those visible to judge the future of it. Knowing that ,
- you guessed it. to just read the horoscope of the CEO might be
- very insufficient for this.
However, as there is no question here of teaching economics and many other
1. Introduction: financial analysis,
First, what is it. the anafi.
Who would have missed the first step. it’s not our kind of leave
harbor distracted recall what we said at the outset on the purpose of
financial analysis.
That is. beyond a static diagnosis, will be to anticipate.
- * If it is made to stock market investments :
- = > The financial return that shareholders can expect .
- * If it is made to grant credit :
- = > The ability of the company to repay the due dates .
1. Know the secrets and company situation
4b. Or if the analysis is the height to extend credit. evaluate the ability
repayment of the company during the scheduled maturities.
We will come back. of course.
What to do with all this?
Casually, you ‘re already at the head of a list of things to remember for
make this exciting analytical work.
Still. even a much longer list would bring together all
questions to ask. This is because. in the corporate world,
