FT Guide to Using and Interpreting Company Accounts, 4th Edition

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How can I use my analysis?

Introduction

In the first part of this book you learned about the information that you could find in the accounts, and in the second part you learned how to analyse and interpret the data. This final part of the book shows you how to use your analytical and interpretative skills. There are three main areas where you’re most likely to use financial analysis:

• Analysing suppliers’ accounts.
• Analysing customers’ accounts.
• Analysing competitors’ accounts.

It’s also possible that you could be asked to help the group identify an acquisition prospect.

In this part of the book I’ll show you how to do assess IMI’s businesses, and how financial analysis can address your key concerns. Once you add financial understanding ...