Published on: April 2026
A STUDY ON THE CALCULATION AND ANALYSIS OF FINANCIAL RATIOS
ARUN KUMARESHAN S P
Dr.R.JAYANTHI
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Abstract
Financial ratios are indispensable tools in evaluating a firm's financial health, operational efficiency, and long- term viability. This study examines the computation and interpretation of key financial ratios using the hypothetical ABC Company for the financial years 2021–22 to 2023–24. The ratios are grouped into five categories: liquidity, solvency, profitability, activity/efficiency, and market ratios. The findings reveal that ABC Company maintains adequate short-term liquidity and moderate profitability, though its leverage and asset turnover indicate areas requiring managerial attention. The study recommends a structured approach to financial planning to improve return on equity and reduce debt dependency over the medium term
How to Cite this Paper
P, A. K. S. (2026). A Study on the Calculation and Analysis of Financial Ratios. International Journal of Creative and Open Research in Engineering and Management, <i>02</i>(04). https://doi.org/10.55041/ijcope.v2i4.096
P, ARUN. "A Study on the Calculation and Analysis of Financial Ratios." International Journal of Creative and Open Research in Engineering and Management, vol. 02, no. 04, 2026, pp. . doi:https://doi.org/10.55041/ijcope.v2i4.096.
P, ARUN. "A Study on the Calculation and Analysis of Financial Ratios." International Journal of Creative and Open Research in Engineering and Management 02, no. 04 (2026). https://doi.org/https://doi.org/10.55041/ijcope.v2i4.096.
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- •Published on: Apr 07 2026
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