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2. (10 points) Discuss historical performance analysis. Address the methodology, areas to be evaluated and the corresponding ratios to the area. Describe how ratios are

2. (10 points) Discuss historical performance analysis. Address the methodology, areas to be evaluated and the corresponding ratios to the area. Describe how ratios are evaluated. That is, what are the ways we look at ratios? Include in your discussion the benefits and limitations of this kind of analysis.

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