Finance is an indispensable and exhilarating area of management that numerous executives want to realize or investigate in further profundity. Finance is perceived as a complex topic that is
usually avoided by some individuals. Finance is based on the principle that firms should be meritoriously managed to maximize the wealth of shareholders. Our objective is to fill the gap
between introductory accounting and finance manuals for financial and non-financial managers covering simple and advanced topics in corporate finance and managerial finance.
Finance grew out of economics and accounting. Economics developed the notion that an asset’s value is based on the future cash flows the asset will provide, and accountants provided
information regarding the likely size of those cash flows. Finance then grew out of and lies between economics and accounting, so people who work in finance need knowledge of those two
fields. Also, in the modern corporation, the accounting department falls under the control of the chief financial officer (CFO).
On the other hand, we also provide statistical services or statistics, which is the science of collecting, organizing, presenting, analyzing, and interpreting data to assist in making more
effective decisions.
Financial statement analysis
If management is to maximize a firm’s value, it must take advantage of the firm’s strengths and correct its weaknesses. Financial statement analysis involves comparing the firm’s performance
to that of other firms in the same industry and evaluating trends in the firm’s financial position over time. It supports financial managers to identify deficiencies and take corrective actions.
The effective analysis of financial statements involves the following interrelated, sequential
steps:
- Identification of the economic characteristics of the industry in which a particular.
- Identification of the strategies that the firm pursues to gain and sustain a competitive.
- Assessment of the quality with regards to the firm’s financial statements.
- Analysis of the firm’s current profitability and risk using information in the financial.
- Preparation of forecasted financial statements.
- Valuation of the firm.