Question

How analysis of financial statements is useful for creditors,management ,investors, employees, govt, and customers?

Answer 1

uses -
1 - Owners and investors
2 - Management
3 - Lenders
4 - Trade Credits or supplies
5 - Government
6 - Employees
7 - Customers
8 - General Public

Answer 2

Analysis of financial statements and information can be derived from the ratio analysis mainly. Ratios such as gearing ratio( for banks) earnings per share ( for investors) labour turnover ratio( for employees) quick ratio( for creditors) can help to further take crucial decision making involvong their time, money and risk