财务会计英文版后习题答案Ch14.docVIP

CHAPTER 14 DISCUSSION QUESTIONS 1. One purpose of financial statement analysis is to evaluate the performance of a company with an eye toward identifying problem areas. Another purpose of financial statement analysis is to use the past performance of a company to predict how it will do in the future. 2. Disagree. An analysis of a company’s financial ratios usually does not provide detailed information about what the causes of a company’s problems are, but it does identify areas in which more detailed data should be gathered. 3. The usefulness of financial ratios is greatly enhanced when th