Financial Ratio Analysis Guide

This document provides guidance on performance ratios, financial status ratios, and market value ratios that can be used for a financial ratio analysis.

Performance ratios include return on equity, return on capital, return on assets, net profit margin, gross profit margin, operating profit margin, revenue trend, net income trend, operating income trend, asset turnover, accounts receivable turnover, and inventory turnover. Financial status ratios include current ratio, quick ratio, long-term debt ratio, interest coverage ratio, and long-term debt to cash flow. Market value ratios include price/book ratio, price/earnings ratio, and price/EBIT ratio.