• Mr. D.P.V. Lokesh
• Ms. Piyusha Vani
• Ms. V.N.S. Mythili

Financial statement analysis, also referred to as financial statement analysis and interpretation, establishes meaningful relationships between elements in financial statements, such as the income statement and statement of position. It is a crucial tool for assessing a company's financial strength and weaknesses, measuring profitability, liquidity, efficiency, and solvency. This article explores the concepts, types, applications, and limitations of financial statement analysis, shedding light on the diverse stakeholders interested in this analysis. This study delves into the realm of financial statement analysis, aiming to comprehensively examine and interpret the financial health of companies. Employing various ratios, percentages, and mathematical relationships, the research conducts a meticulous exploration of profitability, liquidity, management efficiency, and solvency or debt ratios. Drawing on established accounting standards, such as Accounting Standard 3 issued by the Institute of Chartered Accountants of India, the study considers both direct and indirect methods for preparing cash flow statements. In addition, it investigates the Fund Flow Statement, elucidating the sources and applications of funds and their impact on working capital. The research employs a systematic approach to ratio analysis, a powerful tool for assessing a company's strengths and weaknesses. This exploration contributes valuable insights for financial analysts and decision-makers seeking a nuanced understanding of a company's financial standing and performance. Additionally, it delves into tools and techniques employed for a comprehensive understanding of financial statements, providing valuable insights into the interpretation process.

A STUDY ON FINANCIAL STATEMENT ANALYSIS

"A STUDY ON FINANCIAL STATEMENT ANALYSIS", International Journal of Emerging Technologies and Innovative Research (www.jetir.org), ISSN:2349-5162, Vol.10, Issue 12, page no.35-40, December-2023, Available :http://www.jetir.org/papers/JETIRGA06006.pdf

"A STUDY ON FINANCIAL STATEMENT ANALYSIS", International Journal of Emerging Technologies and Innovative Research (www.jetir.org | UGC and issn Approved), ISSN:2349-5162, Vol.10, Issue 12, page no. pp35-40, December-2023, Available at : http://www.jetir.org/papers/JETIRGA06006.pdf