The application of
financial analysis is dependent on the use of the analyst responsible for one
of the analysis tools; Which helps to achieve the desired goals successfully,
and the most important of these tools: [5] Financial structure analysis: It is
to ensure that there is financing for needs without impacts on financial
balance and financial returns; By relying on the application of the principle
of liquidity and maturity, or separating the activities of the analysis.
Activity and outcome assessment: is the concern for the way firms achieve
results, and judging the extent to which their activities are able to reach
profits; By using intermediate routing credits, which are credits that show the
stages that shape the causes and consequences; Which contributes to making the
right decisions .
Productivity evaluation: It is the comparison
between the results achieved and the methods used to achieve them, and they are
classified as the most objective indicators in the performance evaluation
process, and they are used to make investment and financing decisions .
