The Importance Of Financial Analysis In Company Management - PowerPoint PPT Presentation

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The Importance Of Financial Analysis In Company Management

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So, with you doing the financial analysis, seeing the positive and negative points of the company's economy, you can develop methods to develop your company's growth. – PowerPoint PPT presentation

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Title: The Importance Of Financial Analysis In Company Management


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The Importance Of Financial Analysis In Company
Management
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  • Do you know how important it is to do a financial
    analysis of your company? Or how does having
    reliable financial data help you in decision
    making? Or how important is your accounting in
    this aspect?
  •  
  • If your answer is no, you don't have to worry.
    Most people do not use the analysis process.
    Sometimes for lack of knowledge of the existence
    of this processor for not knowing its real
    importance for the decision making of a company.
  • Planning and Budget
  • But analysis is a very useful process for you to
    leverage your business, attracting more customers
    and investors. Interested in the subject? Keep
    reading and learn about the importance of
    analysis in your company and how your accounting
    can help you!

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  • Analysis Concept
  • Financial analysis, also known as economic
    analysis, is the study of a company's ability to
    generate profit. This is also a way of measuring
    your development. Through it, we find methods
    that allow us to assess the financial situation
    of the business. The objective is to determine
    your performance for the best use of your
    resources.
  •  
  • We can, therefore, measure the company's ability
    to generate profit through indicators. The same
    ones will help us to see its real performance.
    Only then will we know whether the company's
    finances will be positive or negative, helping us
    to make short, medium, and long-term decisions.

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  • The importance of financial analysis
  • We see today that many companies are having
    difficulties in imposing their business. These
    situations can be caused by several reasons. Some
    examples are internal problems of the institution
    itself, competitors, or any other that arises
    from the current economic situation of the
    country. Some of the reasons that cause a
    company's income or profit generation to drop are
    poor management, lack of experience and planning,
    lack of cash flow control, lack of working
    capital, among others.
  •  
  • To be a good manager of the company it is
    essential that he identify his financial
    situation. In this way, you gain more ease and
    autonomy at the time of decision making in a
    short period of time. However, you need to
    identify your ability to keep your accounts up to
    date, analyze your results. Thus, it will be
    possible to identify the existing problems in the
    entity's economy.

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  • It is extremely important that you keep your
    accounting data up to date. A good accountant can
    help you in this aspect, as the financial
    statements, as well as all the data and
    information provided by the accounting
    department, will help you to identify any
    problems in financial management and then help
    you in the company's future immediate decision
    making.
  •  
  • So, with you doing the financial analysis, seeing
    the positive and negative points of the company's
    economy, you can develop methods to develop your
    company's growth. Because a company that has its
    finances up to date gives a good image to the
    public. It starts to attract more customers and
    even investors, which will ensure the financial
    health of the entity.

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