E ISSN: 2583-049X
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International Journal of Advanced Multidisciplinary Research and Studies

Volume 3, Issue 6, 2023

Assessing the Liquidity and Liquidity of Enterprises - Learn Through Commercial Banks: A Special Type of Enterprise



Author(s): Le Do Thi, Thuy Linh Vu

Abstract:

Financial index analysis is an important part of fundamental analysis. Analyzing ratios involves comparing numbers to each other to create ratios and then using these ratios to assess whether a company's performance is in decline or growth.

Knowing how to calculate and use financial ratios is not only meaningful to financial analysts, but is also very important to investors as well as to businesses themselves and creditors. Financial ratios allow us to compare different aspects of a business's financial statements with other businesses across the industry to consider its ability to pay dividends as well as its ability to repay debt. Financial statements are a snapshot, a financial "picture" of a business at a specific time and during a specific period. But to understand more deeply the "story" behind the numbers and find important messages about business performance, financial security, and future prospects... of the business; Administrators and investors need to read, understand and analyze financial statements at a deeper level, especially about the solvency and liquidity of the business. By clearly understanding and applying these analytical indicators, managers and investors can not only "read" financial reports accurately and clearly but can also "continue writing" the story. Business success.


Keywords: Solvency, Liquidity, Differentiation

Pages: 986-989

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