A company reports accounting data in its financial statements. This data is used for financial analyses that provide insights into a company's strengths, weaknesses, performance in specific areas, and trends in performance. These analyses are often used to compare a company's performance to that of Its competitors, or to its past or expected future performance. Such insight helps managers and analysts improve their dedsion making, Tools Most discision makers and analysts use five groups of ratios to examine the different aspects of a company's performance Indicate whether each of the following statements regarding financial ratios are true or false? True False ips Statement A company exhibiting a high liquidity ratio mean it le kely to have enough resources to pay off its short-term obligations Auset management ratios provide heights into management's efficiency in using a firm's working capital and long-term assets. Debt management or financial leverage raties help analysts determine whether a company has sufficient cash to repay its short-term debit obligations lololo 0 0 0 ips U One possible explanation for an increase in a firm's profitability ratios over a certain time span is that the company's income has increased ele pols Market value ratios halo analysts figure out what investors and the markets think about the fron's growth prospects or current and future operational performance atroductory Ratio analysis is an important component of evaluating company performance. It can provide great insights into how a company matches up against self over time and against other players within the industry However, like many tools and techniques, ratio analysis has a few limitations and weaknesses, Which of the following statements represent a weakness or limitation of ratio analysis? Check all that apply. Seasonal factors can distort data. O A company exhibiting a highliguidity ratio means it is likely to have enough resources to pay of its short-term obligations Auset management rution provide insights into management ciency in uning fw's working capital and long-term amets. Debt management or financial leverage ratio help analysts determine whether a company has suffident cash to repay a short-term debt loo A-Z O Ore possible explanation for an increase in arm's profitability to ever curtain time pan is that the company's income has increased Market value roties help analysts figure out what investors and the market think about the firm's growth prospects or current and future operational performance 0 Ratio analysis is an important component of evaluating company performance. It can provide great insights into how a company matches up against twell over time and against other players within the industry However , like many tools and techniques, ratio analysis has a few Imitations and weaknesses Which of the following statements represent a weakness or limitation of ratio analysis? Check out that apply. Seasonal factors can distort data Window dressing might be in affect actory Market data are not suficiently considered A company reports accounting data in its financial statements. This data is used for financial analyses that provide insights into a company's strength weaknesses, performance in specific areas, and trends in performance. These analyses are often used to compare a company's performance to that om Its competitors, or to its past or expected future performance. Such insight helps managers and analysts improve their dedsion making. Most decision makers and analysts use five groups of ratios to examine the different aspects of a company's performance. Indicate whether each of the following statements regarding financial ratios are true or false? True False Statement A company exhibiting a high liquidity ratio means it is likely to have enough resources to pay off its short-term obligations. Asset management ratios provide insights into management's efficiency in using a firm's working capital and long-term assets. Debt management or financial leverage ratios help analysts determine whether a company has sufficient cash to repay its short-term debt obligations One possible explanation for an increase in a firm's profitability ratios over a certain time span is that the company's income has increased Market value ratios help analysts figure out what investors and the markets think about the firm's growth prospects or current and future operational performance Ratio analysis is an important component of evaluating company performance. It can provide great insights into how a company matches up against itself over time and against other players within the industry However, like many tools and techniques, ratio analysis has a few limitations and weaknesses O o O O A company exhibiting a high liquidity ratio means it is likely to have enough resources to pay off its short-term obligations. Asset management ratios provide insights into management's efficiency in using a firm's working capital and long-term assets. Debt management or financial leverage ratios help analysts determine whether a company has sufficient cash to repay its short-term debt obligations One possible explanation for an increase in a firm's profitability ratios over a certain time span is that the company's income has increased. Market value ratios help analysts figure out what investors and the markets think about the firm's growth prospects or current and future operational performance O o o Ratio analysis is an important component of evaluating company performance. It can provide great insights into how a company matches up against Itself over time and against other players within the industry. However, like many tools and techniques, ratio analysis has a few limitations and weaknesses. which of the following statements represent a weakness or limitation of ratio analysis? Check all that apply. Seasonal factors can distort data. Window dressing might be in effect. Market data are not sufficiently considered