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Why are trend analysis and industry comparison important to financial ratio analysis?
Trend analysis assists financial analysts and managers see whether a company's current financial situation is improving or deteriorating.
industry comparison or Cross-sectional analysis allows analysts to put the value of a firm's ratios in the context of its industry.
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Return on Investment (ROI) In accounting it is a measure of the earning power of an industries asset. A high return on investments is desirable. ROI is widely described as net
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