Accounting for IGCSE & O level - Advanced Principles (Section 3 - No. 28)
What is the significance of comparing financial ratios over time?
To assess the company's long-term viability.
To understand the company's performance trends.
To only compare the company's revenues.
To track the cash flow of the business.
הֶסבֵּר
Tracking financial ratios over time shows performance trends.