What methods are used. The main general methods of financial analysis are trend analysis

1, horizontal analysis: horizontal analysis method, refers to the information reflecting the financial position of the enterprise reporting period (that is, the accounting statement information information) and reflecting the financial position of the enterprise in the previous period or the history of a certain period of time information for comparison, the study of the enterprise's various business performance or the development of financial position of the change of a method of financial analysis.

2, vertical analysis: vertical analysis is a method of analysis, it can be used in the analysis of financial information. In a financial statement, the table with the data of each item and the overall (or statement totals), in order to derive the position of the item in the overall position, importance and change.

3, trend analysis: trend analysis (trend analysis approach), also known as comparative analysis, level analysis, it is through the financial statements of the various types of relevant digital information, two or more consecutive periods of the same indicators or ratios of the base comparison and ring comparison, to derive the direction of their increase or decrease in the changes in the direction of the amount and magnitude, in order to reveal the enterprise's financial position, operations and cash flow trends. It is a kind of analyzing method to reveal the trend of the enterprise's financial condition, operation and cash flow. The use of trend analysis usually requires the preparation of comparative accounting statements.

II. Ratio analysis: Ratio analysis (Ratio analysis) includes ratios between balance sheet items or income statement items, which often provide a unique perspective on a company's level of risk and ability to generate profits for shareholders. The simple calculation of these ratios (often by dividing one figure by another) and their interpretation is what we call Ratio Analysis.

Three, factor analysis

Linking substitution method: linking substitution method is based on the intrinsic dependence between the factors, in order to determine the effect of changes in the factors on the differences in economic indicators of a method of analysis. The main role of the method of chain substitution is to analyze and calculate the reasons for changes in the composite economic indicators and the degree of influence of the factors. The prerequisite for the application of the method of chain substitution: a causal relationship between the economic indicator and its constituent factors, which can form an algebraic equation. Note that the algebraic formula is not necessarily a product relationship, add, subtract, multiply or divide can be.