financial interrelation ratio

简明释义

金融相互关系比率

英英释义

The financial interrelation ratio is a metric that measures the relationship between different financial variables or components within an organization, often used to assess the impact of one financial element on another.

财务相互关系比率是一个衡量组织内不同财务变量或组成部分之间关系的指标,通常用于评估一个财务因素对另一个因素的影响。

例句

1.A high financial interrelation ratio 财务关联比率 might suggest that a company is overly dependent on a few key areas of its operations.

高的财务关联比率 financial interrelation ratio 可能表明公司过于依赖其运营的几个关键领域。

2.Understanding the financial interrelation ratio 财务关联比率 can help managers make better budgeting decisions.

理解财务关联比率 financial interrelation ratio 可以帮助管理者做出更好的预算决策。

3.The company's financial interrelation ratio 财务关联比率 indicates how its various departments are financially connected.

公司的财务关联比率 financial interrelation ratio 表明其各个部门在财务上的联系。

4.Investors often look at the financial interrelation ratio 财务关联比率 to assess the risk involved in their investment.

投资者通常会查看财务关联比率 financial interrelation ratio 来评估投资的风险。

5.The audit report highlighted the financial interrelation ratio 财务关联比率 as a critical factor in the company's financial health.

审计报告强调了财务关联比率 financial interrelation ratio 是公司财务健康的重要因素。

作文

In the world of finance, understanding various metrics is crucial for making informed decisions. One such metric that plays a significant role in analyzing a company's financial health is the financial interrelation ratio. This ratio provides insights into how different financial elements of a business are interconnected and how they influence each other. Essentially, the financial interrelation ratio (财务相互关系比率) helps investors and analysts evaluate the stability and efficiency of a company’s operations.To elaborate, the financial interrelation ratio can be derived from various financial statements, including the balance sheet, income statement, and cash flow statement. It often involves ratios that reflect relationships between assets, liabilities, equity, revenues, and expenses. For instance, the debt-to-equity ratio is an example of a financial interrelation ratio that indicates the proportion of a company’s financing that comes from creditors versus shareholders. A high ratio may suggest higher risk, as it indicates that a company relies more on borrowed funds to finance its operations.Another important aspect of the financial interrelation ratio is its ability to reveal trends over time. By comparing these ratios across different periods, stakeholders can identify whether a company is improving or deteriorating in its financial performance. For example, if a company’s return on equity (ROE) is increasing while its debt-to-equity ratio is stable, it suggests that the company is effectively using its equity to generate profits without taking on excessive debt. This kind of analysis is vital for investors who want to assess long-term viability and growth potential.Moreover, the financial interrelation ratio is not only useful for individual companies but also for comparing firms within the same industry. Investors often look at these ratios to benchmark a company’s performance against its peers. This comparative analysis can highlight strengths and weaknesses, providing a clearer picture of where a company stands in relation to its competitors. For instance, if a company has a significantly lower current ratio than its industry average, it may indicate liquidity issues that could affect its ability to meet short-term obligations.However, it is essential to approach the financial interrelation ratio with caution. Different industries have varying standards for what constitutes a healthy ratio. Therefore, a ratio that appears unfavorable in one sector may be acceptable in another. It is crucial for analysts to consider the context of the industry when interpreting these ratios to avoid misleading conclusions.In conclusion, the financial interrelation ratio (财务相互关系比率) serves as a vital tool for assessing a company’s financial health and operational efficiency. By examining the relationships between various financial components, stakeholders can gain valuable insights into a company's performance and make better-informed investment decisions. As with any financial metric, it is important to use the financial interrelation ratio in conjunction with other analyses and benchmarks to achieve a comprehensive understanding of a company’s financial position.

相关单词

interrelation

interrelation详解:怎么读、什么意思、用法

ratio

ratio详解:怎么读、什么意思、用法