This year's economic situation is not good, and many companies have begun to play the banner of "operational analysis", requiring "assessment of financial benefits" and "promoting cost reduction and efficiency improvement". This made many students confused: Doesn't the financial department have financial analysis? What is the difference between business analysis and data analysis? Today, I will explain the system to you. 1. Financial Analysis vs business email list Data Analysis In fact, the emergence of financial analysis far predates the concept of "data analysis" that has become popular in recent years. Because financial issues involve corporate taxation and compliance operations, the country has long issued the "Accounting Standards" and enforced it.
Even if an enterprise does not have any data, it has to make accounting accounts, which not only involves internal fund management, but also involves communication with regulatory authorities such as industrial and commercial taxation. Now that there is business email list a ledger, it is natural to perform data analysis on the ledger, which is the earliest source of financial analysis. At the heart of financial analysis are three major reports: Income Statement: Income and cost of a company in a certain period (month, quarter, year) Cash flow statement: the cash flow generated by the operation, investment and financing of the enterprise during a certain period Balance Sheet.
A company's assets and liabilities at a point in time (month-end, quarter-end, year-end) There are many professional financial concepts for specific preparation methods, which will not be repeated here. You can simply understand it as: Income Statement: How Much You Earn and How Much You Spend Over Time Cash flow: how much you earn, how much you borrow, how much you have left Balance sheet: how much money is left after the annual base is completed Financial analysis itself is very useful because it intuitively reflects whether a business can make money and whether it can pay its debts. Students who speculate in stocks know that even if they do not know the internal situation of the company.