Why are financial ratios used? Name five categoriesof ratios, and then list several ratios in each category. Would a bank loan officer, a bond analyst,a stock analyst, and a manager be likely to put thesame emphasis and interpretation on each ratio?

Intermediate Financial Management (MindTap Course List)
13th Edition
ISBN:9781337395083
Author:Eugene F. Brigham, Phillip R. Daves
Publisher:Eugene F. Brigham, Phillip R. Daves
Chapter7: Analysis Of Financial Statements
Section: Chapter Questions
Problem 2Q: Financial ratio analysis is conducted by managers, equity investors, long-term creditors, and...
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Why are financial ratios used? Name five categories
of ratios, and then list several ratios in each category. Would a bank loan officer, a bond analyst,
a stock analyst, and a manager be likely to put the
same emphasis and interpretation on each ratio?

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