O'Reilly logo

Finance for IT Decision Makers - A practical handbook by Michael Blackstaff

Stay ahead with the world's most comprehensive technology and business learning platform.

With Safari, you learn the way you learn best. Get unlimited access to videos, live online training, learning paths, books, tutorials, and more.

Start Free Trial

No credit card required

12 FINANCIAL ANALYSIS: THE BASICS

OBJECTIVES

When you have studied this chapter you should be able to:

  • explain the limitations on the amount of useful information about a business or other organisation that can be conveyed by a single set of accounts in isolation;
  • describe some of the most commonly used financial ratios;
  • list the various contexts that give them meaning;
  • explain what is meant by ‘shareholder value added’ (SVA) as applied to a company as a whole.

FINANCIAL ANALYSIS

In Chapter 1 I suggested that statements of financial position and income statements are static and, by themselves, tell us little about the dynamics of a business. In this chapter we shall see how financial ratios can bring accounts to life and reveal some of the ...

With Safari, you learn the way you learn best. Get unlimited access to videos, live online training, learning paths, books, interactive tutorials, and more.

Start Free Trial

No credit card required