Financial analysis.
From the investor’s perspective, the market value as forward looking into the future, while book value is backward looking about the history. Why?
Describe the difference between Net Income, Net Cash Flow and Free Cash Flow.
Explain why free cash flow is the most useful metrics for investors.
List the FIVE major financial ratio groups.For each major group, pick at least TWO examples, and briefly indicate what they analyze.
Describe how to use the DuPont Identity in financial analysis.
Describe at least three approaches we can use to improve the Return on equity? Explain why?