Question: Compare financial statement analysis to operating indicator analysis. In a healthcare setting, is one more useful than the other? Note that a calculated ratio value

Compare financial statement analysis to operating indicator analysis. In a healthcare setting, is one more useful than the other?

Note that a calculated ratio value tells us little about a firm unless we compare it to something. That 'something' is usually analysis of ratios from the firm's past (trend analysis), or ratios from the firm's industry (comparative analysis). When would we prefer one comparison to the other?

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