What are the primary limitations of ratio analysis as a


1. What are the primary limitations of ratio analysis as a technique of financial statement analysis?

2. What is the major limitation of the current ratio as a measure of a firm's liquidity? How may this limitation be overcome?

3. What problems may be indicated by an average collection period that is substantially above or below the industry average?

Request for Solution File

Ask an Expert for Answer!!
Finance Basics: What are the primary limitations of ratio analysis as a
Reference No:- TGS02139827

Expected delivery within 24 Hours