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Question 6 Financial statement analysis consists of the application of analytical tools and techniques to interpret financial statements and data as a tool for making

Question 6

Financial statement analysis consists of the application of analytical tools and techniques to interpret financial statements and data as a tool for making investment decision.

  1. Differentiate THREE (3) types of activities recorded in a cash flow statement by giving examples that relate to a specific industry. (9 marks)

  1. Explain the functions of FIVE (5) key financial ratios by giving the acceptable benchmark for each financial ratio. (10 marks)

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