Finance And Administration 

Financial ratio analysis is a vital part of the successful operation of any business. The term financial ratio basically refers to the comparison of one performance indicator versus another such as relating bottom line profits to revenues in the form of profits as a percent of revenues. Ratios such as this represent an important gauge for monitoring the performance of your business over time and as compared to your peers in the industry. Considering a financial ratio, as opposed to relatively meaningless absolute dollar figures, is useful for relating how profitable and productive your operation is.