How to analyze a company's financial position?

we can analyse a company's financial position through its statement of financial position .In which we can easily understand about the asset ,laibilities and its ower euity whether they are able to fulfill their short or long-term debts.

There are more than one side in Analysis of Company Financial position

1- if you want to Analysis the liquidity of Company position you will use Liquidity Ratios Such as current ratio

2- if you want to analysis capital  structure of comany you will need to use Capital Structure ratios such AS assets ratio

3- if youy want to Analysis Company Activity you will use Activity ratios such as inventoey turnover

4- you can use Cash flow statement to Analysis the Percentage of Adption on loans , direction of operating Activites and investing Activity