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Dasarathi Rath , Sr. Accountant , Al Luban Special Investment LLC
For analyse the company performance in the context of the real activities :-
1. Revenue against Operating expenses to sales
2. Operating profit
3. Capital Turnover for sales against capital employed.
4. Stock turnover against COGC /average stock
5.Net profit to net worth
And cash flow and funds flow is the performance evaluation for financial health and decesion making.
That the company performance real activity of analysis
a. Liquid position
b. Long term solvency
C. Operating efficiency
D.Overal profitability
E. Interfirm comparison
F. Financial Ratio for budgeting