The goal of financial analysis is to use financial data to evaluate the current and past performance of a firmand to assess its sustainability. There are two important skills related to financial analysis. First, the analysisshould be systematic and efficient. Second, the analysis should allow the analyst to use financial data toexplore business issues. Ratio analysis and cash flow analysis are the two most used financial tools. Ratioanalysis focuses on evaluating a firms product market performance and financial policies; cash flowanalysis focuses on a firms liquidity and financial flexibility.In this project, you are required to analyse the companys financial statements. In doing so$,$ you shouldfollow the structure outlined below and make use of the material covered in class.A Hypothetical Case StudyPharmamax is a new pharmaceutical firm that began operating in the Palestinian market three years ago.Despite being an entrant to the industry, Pharmamax has made progress by employing innovativeadvertising strategies to provide a wide range of pharmaceutical products. The firm has been operating inthe Palestinian pharmaceutical market for more than two years, and its financial statements are available inthe appendix for your investigation and consideration.Requirements: Conduct some desk research to develop an understanding of the pharmaceutical industry in Palestine. Select one Palestinian pharmaceutical company to use in the benchmark analysis comparing financialstatus and performance with Pharmamax. Perform an internal analysis of Pharmamax financial performance and position by employing variousanalytical methods such as trend analysis, common$-$size analysis, financial ratios $($such as liquidity,profitability, and solvency ratios$),$ Dupont analysis, Z$-$score calculation, and other relevant tools thathad been covered throughout the semester. Furthermore, evaluate Pharmamax's findings externally by benchmarking $($use the company youselected in step $2)$ its ratios, conducting common$-$size comparisons.