What impact does missing data have on the ratios


Case Summary: Financial analysts, investors, lenders, auditors, and many others perform ratio analysis to help review and evaluate a company's financial statements and financial performance. This analysis allows the stakeholder to understand the company's financial health and gives insights to allow more insightful and, hopefully, more effective decision-making.

Q1. What impact (if any) does missing data have on the ratios?

Q2. What might be driving this if one company has a significantly higher debt-to-equity ratio than the other two? How might the DuPont ratios help explain this?

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Finance Basics: What impact does missing data have on the ratios
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