Accounting for IGCSE & O level - Advanced Principles (Section 5 - No. 34)
In the context of financial analysis, what does 'benchmarking' involve?
Comparing a company's financial ratios against industry averages or competitors.
Predicting future financial performance.
Determining internal financial targets.
Analyzing only income statements.
Paliwanag
Benchmarking means comparing ratios to industry benchmarks.