One benefit of using ratio analysis when interpreting financial statements is that:
A. Ratios facilitate comparisons between different companies.
B. All ratios have exact standard values with which performance can be compared.
C. Ratios take into account all the specific factors affecting particular companies and industries.
D. None of these
Answer:A
One benefit of using ratio analysis when interpreting financial statements is that:
A. Ratios facilitate comparisons between different companies. B. All ratios have exact standard values with which performance can be compared. C. Ratios take into account all the specific factors affecting particular companies and industries. D. None of these