Financial analysis

Financial analysis is the process of evaluating businesses, projects, budgets, and other finance-related entities to determine their performance and suitability. It involves examining financial statements and using ratios, metrics, and other analytical tools to interpret data. Financial analysis is crucial for making informed decisions, assessing risks, and ensuring the financial health of an organization. It helps stakeholders such as investors, management, and creditors to understand the financial position and profitability of a company. By analyzing past and current financial data, one can forecast future performance and strategically plan for growth and sustainability.