incredibly messy don’t you think? Are you a numbers person? Do you enjoy this type of activity?VanessaReference:McClure, B. (2019). How to analyze a Company’s Financial Position. Retrieved from DAY 3 of POSTS WEEK 2POST 1Timothy,Wow! You make a great point that I would have NEVER thought to look at, thank youfor that! It makes sense that an unsteady exchange rate would discourage foreign investment, but I am curious… why would a high stable one be a risky business for foreign investment? Is it simply because the exchange rate is so high? Stable and low good – anything else… not so good?VanessaPOST 2Barbara,I was wondering when we were going to start talking about the financial situations that our economy is headed into. One of my jobs is working at Olive Garden, they are doing togo orders only right now. I keep wondering how a big company like OliveGarden will survive, much less the rest of the small businesses that we have throughout the US, that rely on sales to survive – PERIOD! I think that it will be interesting to see the analysis next year – after this crisis wraps up.VanessaWEEK 3TOPIC 3 DQ 1What are the benefits of ratio analysis? What are the limitations of ratio analysis? What can be done to minimize the limitations on ratio analysis? Explain. Cite any references used. Participate in follow-up discussion by reviewing your classmates'
posts, adding additional information, asking questions, or responding to follow-up questions posed by your instructor.Professor and Class,Ratio Analysis is the correlation between numbers, generally in business it is between accounts (such as a financial statement/balance sheet), that help the organization (or stakeholder) paint a clearer picture of the reality of those numbers – an understanding (“Meaning, Objectives, Advantages and Limitations of Ratio Analysis,” n.d.). This makes ratio analysis an essential tool for financial management. Ratio analysis can assist in affirming or disproving certain investments or decisions, allowing them to have what I like to call, a co-signer. If there is a problem, ratio analysis will usually make itself known through the numbers, as well as, allows the company to look at their competitors in the same industry, which in turn helps the company understand just where it stands in that industry (“Meaning, Objectives, Advantages and Limitations of Ratio Analysis,” n.d.).AS far as the limitations are concerned, yes there are several; but understanding that there are certain limitations and making adjustments in the presentation of thisinformation, can help make the “gray” seem more black and white.Vanessa KoltsidasReference:Meaning, Objectives, Advantages and Limitations of Ratio Analysis, (n.d.) TOPPR. Retrieved from -ratios/meaning-objectives-advantages-and-limitations-of-ratio-analysis/WEEK 3 POSTSPOST 1Alec,You have stated a lot of very good information here that allows me to see all the