abhishreshthaa
Abhijeet S
Until about the turn of the century, preparation of financial statements was a part of the work to be done by a book-keeper. In due course of time, bankers began to request balance sheets of applicants obviously with a view to consider the desirability of granting credit.
In spite of this, the statements were hardly used, analysed and interpreted In the real sense of these terms. However, in due course of time, they started to prescribe certain minimum current and liquid ratios for the purpose of lending and which eventually led to the practice of analysis and interpretation of financial statements.
The growth and development of management as a science and decision-making accepted as the most important function of management, have contributed to the extensive use of analysis of financial statements.
In spite of this, the statements were hardly used, analysed and interpreted In the real sense of these terms. However, in due course of time, they started to prescribe certain minimum current and liquid ratios for the purpose of lending and which eventually led to the practice of analysis and interpretation of financial statements.
The growth and development of management as a science and decision-making accepted as the most important function of management, have contributed to the extensive use of analysis of financial statements.