AS(7131) A-level (7132) Specifications For teaching from September 2023 onwards For as exams in May/June 2024 onwards For a-level exams in May/June 2025 onwards Version 2.0
This lesson covers:
How to assess the financial performance of a business using balance sheets, income statements
financial ratios
profitability (return on capital employed)
liquidity (current ratio)
gearing
Efficiency ratios:
payables days
receivables days
inventory turnover
The value of financial ratios when assessing performance
Data may be analysed over time or in comparison with other businesses.
This lesson was written by Sarah Hilton for Revisionstation
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