Assignment 2 Using Financial Ratios to Assess Organizational Performance

Strayer University

HSA 525/ Health Financial Management

Using Financial Ratios to Assess Organizational Performance

Suggest the financial ratio that most financial analysts would use to evaluate the financial condition of the company. Provide support for your rationale.

Financial ratios are tools utilized to examine the financial condition andperformance of company by financial analyst. Financial analysts look at many different ratios however I believe that the most important ratios that they use to analyze the financial health of a company are liquidity and profitability ratios. Likewise, financial ratios are important because they allow financial managers to evaluate opportunities. Analysts study a company's...