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ratio analysis

ratio analysis

5.5
A way of looking at financial numbers to see how well a company is doing
  • noun
  • /ˈreɪʃioʊ əˈnælɪsɪs/
  • Specialized
translation icon : análisis de razones
  • LPHAs may achieve more of a community impact if they employ financial ratio analysis to monitor performance, increase capacity, and achieve their mission and vision.
  • financial ratio analysis
  • use of ratio analysis

Examples

  • Moreover, when used systematically, financial ratio analysis allows organizations to make projections about their operations, providing valuable insight into their future.

    Academic text (2011)
  • Financial ratio analysis typically considers four broad aspects of the organization: liquidity, profitability, leverage, and operations.

    Academic text (2011)
  • Public health schools and programs should develop and offer financial management courses, including financial ratio analysis, to their students.

    Academic text (2011)
  • The mutual benefits of financial ratio analysis will grow as the methodology is employed by more managers in the public health sector.

    Academic text (2011)
  • This financial ratio analysis should be conducted on homogeneous industry groups.

    Academic text (1996)
  • LPHA staff with financial responsibilities should receive training in the use of financial ratio analysis.

    Academic text (2011)
  • In evaluating the financial performance of hospitals, the standard technique is ratio analysis.

    Academic text (1993)
  • Although ratio analysis can reveal much about an organization and its operations and can help improve forecasting and decision-making, this tool has its limitations.

    Academic text (2011)
  • Monitoring financial performance and predicting financial problems are important contributions of financial ratio analysis and have been demonstrated to help hospitals and local governments reduce costs, increase profits, and continue operations.

    Academic text (2011)
  • In evaluating the financial performance of hospitals, the standard technique is ratio analysis.

Synonyms

financial analysis
vsratio analysis
  • Specialized
1 3.5

To look at a company's money records to see how well it makes money and stays stable

focuses on comparing relationships between figures to assess performance over time or against peers

Antonyms

256 3.8

Fail to care for someone or something you should look after

119 3.9

Ignore something or someone on purpose

How Thorough

ratio analysis
  • Specialized
5.5
limited review
  • Specialized
6.5

Surface Forms

ratio analysis singular

Morphology

ratio + analysis

The phrase combines 'ratio' (a numeric relation) and 'analysis' (a systematic examination), so the meaning—examining numeric relationships—is directly and compositionally derivable from the constituents. While commonly applied in finance to assess performance, that is a straightforward domain-specific instantiation and similar constructions appear in many languages, so a B1 learner who knows both words would readily infer the meaning.

Etymology

Ratio analysis comes from the idea of looking at a ratio, which is one number compared to another, and doing an analysis, a close look. Imagine putting two slices of a pie side by side to see which is bigger; that picture helps you see a company's health, so the phrase means 'examining financial relationships to assess performance'.