DQ 7 - Chapter 9 Discussion. After reading the text, viewing the PowerPoint slides and reading the notes, consider the following: - The process of interpreting an entity's financial statements can be facilitated by certain ratio computations and if one entity's financial condition and results of operations are to be compared to those of another entity, ratio analysis of the financial statements is essential. What does it mean to use the trend of financial statement ratios to compare the financial position and results of operations of one firm with another firm? After posting, return to the board and read over the posts of your fellow classmates. Choose at least one classmate and create a post responding to his/her initial post on the Discussion Board