Indicators for financial statement analysis

Including solvency indicators, operating capacity indicators, profitability indicators and development capacity indicators.

1, solvency refers to the enterprise's ability to repay the debt due (including principal and interest). Solvency analysis includes short-term solvency analysis and long-term solvency analysis.

2, the analysis of operating capacity refers to the analysis of the efficiency of its asset utilization by calculating the relevant indicators of capital turnover of enterprises, is the analysis of the management level of the enterprise management and the ability to use assets.

3. Profitability is the ability to increase the value of the enterprise's capital, which is usually reflected in the size and level of the enterprise's earnings. The analysis of enterprise profitability can be studied from the general analysis and social contribution ability analysis.

4, the development of the ability to survive on the basis of the enterprise, expanding the scale, growing strength of the potential ability.

Expanded

Composition of financial statements:

A complete set of financial statements including balance sheet, income statement, cash flow statement, statement of changes in equity (or statement of changes in shareholders' equity) and notes to the financial statements.

1, Balance Sheet (Balance Sheet / Statement of Financial Position) which reflects the assets, liabilities and capital of the enterprise's future status. Long-term solvency, short-term solvency and profit-sharing ability.

2, the income statement (or profit and loss account) (Income Statement/Profit and Loss Account) which reflects the amount and structure of the current period's income, expenses and profits and losses that should be recorded in the current period's profits.

3, Cash Flow Statement (Cash Flow Statement) It reflects the ins and outs of the enterprise's cash flow, which is divided into three parts: operating activities, investing activities and financing activities.

4, Statement of change in equity (Statement of change in equity) It reflects the total amount of ownership interest (shareholders' equity) in the period of the increase or decrease in changes in the situation also includes structural changes in the situation, in particular, to reflect the gains and losses directly recorded in the ownership interest.

5, notes to financial statements (Notes to financial statements) generally include the following items: the basic information about the enterprise, the basis for preparing financial statements, the statement of compliance with accounting standards, significant accounting policies and accounting estimates, changes in accounting policies and accounting estimates, and the correction of errors in the description and description of important statement items.

Baidu Encyclopedia - Analysis of Financial Indicators

Baidu Encyclopedia - Financial Statements