(Solved)find two articles that discuss financial ratio analysis(Solved)n at


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find two articles that discuss financial ratio analysis.n at least 50 words Identify two advantages and two disadvantages to using ratios in financial analysis. Be sure to cite your sources using APA format. . week 5 doc1.pdf Effects of Inflation Accounting on Financial Ratios: An Empirical Analysis of Non-Financial Firms Listed on Istanbul Stock Exchange Nalan Akdogan*, Rafet Aktas** and Seyfettin Unal*** The study analyzes the effects of recently introduced practice of inflation accounting in Turkey. Despite a relatively long history of discussions on the subject, inflation accounting was adapted in the Turkish accounting practice only recently. Therefore, this created an opportunity to examine the results of implementation and to make meaningful comparisons between historical and inflation-adjusted financial statements of firms. An analysis of t-test on the means of financial ratios has been conducted on non-financial firms listed on Istanbul Stock Exchange (ISE). The results reveal that a statistically significant change for the whole sample occurs only on Total Assets Turnover (TAT). Regarding the industry-specific outcomes, significant changes are observed in non-metallic mineral products industry for total assets turnover and debt ratio. On the whole, the study provides useful insights from the industrial point of view and carries important implications for firms from different industries, as well as financial analysts. Introduction The users of financial information, such as current and potential investors, creditors, lenders, suppliers, customers, employees, government authorities and public, need relevant and reliable information about the financial position, performance and changes in the financial position of firms for making economic decisions. Inflation, on the other hand, distorts financial information by creating an impact on the firm’s operational and financial results. In a hyperinflationary economy, reporting of operating results and financial position without restatement is misleading and thus is not useful (International Accounting Standards 29, code 2). Therefore, it is necessary that financial statements reflect the true picture and are free from the negative effects of inflation. Starting in the first half of the 1970s, a continuous rise in oil prices has generated interest towards inflation accounting. The issue quickly caught the attention of a number of countries and many of its aspects have been examined by officials, academia and accounting professionals. * Professor, Baskent University, Turkey. E-mail: nalanakdogan@gmail.com ** Assistant Professor, Dumlupinar University, Turkey. E-mail: rafetaktas@gmail.com *** Assistant Professor, Dumlupinar University, Turkey. E-mail: sunal@dumlupinar.edu.tr © 2009 The Icfai Accounting on All Rights Reserved. Effects of InflationUniversity Press.Financial Ratios: An Empirical Analysis of Non-Financial Firms Listed on Istanbul Stock Exchange 47 All these parties strove hard for finding better ways to deal with inflation matters. Despite early works, until the World War I, major accomplishments on the subject have been possible only from the 1970s. Even though inflation accounting has long been debated, a necessary attention is avoided to provide its effects on financial statements of businesses. Hence, this study is conducted to present empirical evidence on the results of inflation accounting practice recently applied in Turkey. The analysis performed in this study is expected to provide a broad range of financial information to users with meaningful results. Particularly, the study carries important implications for firms from different industries, as well as financial analysts. Among others, these messages are especially in the interest of firms conducting businesses in countries faced with hyperinflation. The study is organized as follows: after the introduction, inflation accounting practices worldwide are discussed. Afte

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