Summary of Key Financial Analysis Principles
February 14, 2023
The Corporate Financial Institute (CFI) has released an easy-to-follow and very visual presentation on key financial analysis principles. This overview offers an easy place to get a brush up on these topics before embarking on your next budgeting period.
The guide covers the financial statements: Income statement, balance sheet, and statement of cash flows.
It guides and then dives into the following areas:
- Vertical analysis
- Gross profit margin
- Operating profit margin
- Net profit margin
- Efficiency ratio
- Solvency ratio
- Horizontal analysis
- Benchmarking