Balance sheet and income-related ratios are one of the first sets of financial ratios you learn to use when analyzing a company.

Ratio analysis is a method of analyzing a company's liquidity, operational efficiency, and profitability by comparing line items on its financial statements.

What Financial Statement Do I Use to Calculate the Return on an Asset Ratio?. You might feel a little overwhelmed by the many facts and figures used to evaluate a corporation's financial condition.

Data found in the balance sheet, the income statement, and the cash flow statement are used to calculate important financial ratios that provide insight into the company’s financial performance.

Common-size financial statements are often referred to as vertical analysis, because they compare smaller financial accounts to the overall bottom line.

Business Changes to Your Financial Statements Under the New Lease Accounting Standard With the changes in balance sheet reporting, some financial statement ratios may be affected.