Generally speaking, the analysis of financial reports should go from shallow to deep, step by step: first, we should make relevant analysis on a single form to grasp the basic situation of the enterprise. Then, the relevant ratios are calculated by combining all financial statements, and the solvency, profitability and operational ability of enterprises are analyzed through vertical comparison and horizontal comparison.
Basic thinking of financial report analysis
Comparative analysis is a common method to analyze financial reports. By comparing the financial indicators of enterprises in different periods, we can find problems and reasons from the changes of indicators and achieve the purpose of improving our work. By analyzing the trend changes in several consecutive periods, we can evaluate the management level of enterprises and predict the future development trend of enterprises. Through the comparison with industry indicators, we can judge the position of enterprises in the industry, find the gap through the comparison with similar advanced enterprises, and achieve the purpose of absorbing advanced experience; By comparing with the budget or planned indicators, this paper analyzes the extent to which the enterprise has completed the budget, reveals the reasons for the differences, and finds out the management loopholes.
1. Formal analysis
Single table analysis is to analyze the balance sheet, income statement, cash flow statement and their schedules respectively.
1, balance sheet analysis
(1) After opening the balance sheet, first browse the total assets, and combine the sales in the income statement and the number of employees in the statistical indicators to judge the business scale of the enterprise. From the perspective of total assets alone, more than 400 million yuan is large, less than 40 million yuan is small, and the middle is in between (total assets as an indicator to measure the business scale of enterprises are only applicable to industrial enterprises and construction enterprises). Then look at the source of assets, that is, total liabilities and total owners' equity, grasp the size of corporate liabilities and net assets, and then analyze the financial risks of enterprises by calculating asset-liability ratio or property rights ratio.
(2) After understanding the overall situation, analyze the asset structure, calculate the proportion of current assets and long-term assets in total assets, and judge the enterprise type. Enterprises with large long-term assets ratio are generally traditional enterprises, while high-tech enterprises generally do not need a large number of fixed assets.
(3) Understand the liquidity and asset quality of enterprise assets by calculating the proportion of each item in current assets. In general, inventory accounts for 50%, accounts receivable accounts for 30%, and cash accounts for 20%, but advanced management industries do not implement this standard.
(4) Calculate the proportion of the project in the long-term assets, and understand the status and potential of enterprise assets. The amount and proportion of long-term investment reflect the scale and level of enterprise capital management. The net amount and proportion of fixed assets reflect the production capacity and technological progress of enterprises, and then reflect their profitability. If the net amount is close to the original value, it means that the enterprise is either new or the old assets of the old enterprise have become high-quality assets through technological transformation. If the net amount is small, it means that the enterprise is backward in technology and short of funds. The quantity and proportion of intangible assets reflect the technical content of enterprises.
(5) In terms of liabilities, calculate the ratio of current liabilities to long-term liabilities. If the ratio of current liabilities is significant, it reflects that the pressure of corporate debt repayment is greater; If the long-term debt ratio is significant, it shows that the financial burden of the enterprise is heavy. In addition, it is necessary to calculate the proportion of credit debt and settlement debt in total liabilities and the proportion of temporary debt and spontaneous debt in current liabilities to judge whether the debt structure is reasonable; Calculate the ratio of long-term liabilities to total capital, analyze the protection degree of total capital to long-term liabilities, calculate the ratio of long-term liabilities to owners' equity, and analyze the risks of creditors.
(6) In terms of owner's rights and interests, paid-in capital reflects the size of the enterprise owner's claim to the interests of the enterprise, capital reserve reflects the appreciation of the invested capital itself, and retained earnings (namely surplus reserve and undistributed profits) are the capital appreciation in the process of enterprise operation. If the retained earnings are large, it shows that the enterprise has great potential for self-development.
(7) Finally, analyze the difference between the ending and beginning amounts of assets. The ending number of total assets is greater than the beginning number, indicating that assets have increased in value. Combined with liabilities and owners' equity, this paper analyzes whether the reasons for the increase of assets are borrowed funds, investors' investment or self-accumulation. If the amount of borrowed funds and investors' investment is large and the self-accumulation transfer is small, it may be that the enterprise is expanding its scale. If the amount of self-accumulation and transfer is large, it shows that the enterprise has great potential for self-development
(8) After grasping the overall changes, analyze the specific reasons for the differences between assets and equity items at the beginning of the period in combination with account books and account summary tables.
2. Income statement analysis
To analyze the income statement, we must first analyze the total profit of the current period and its composition; Secondly, compare the profit rate of the enterprise with the target value horizontally to find out the gap and the direction of efforts; Then, the related projects in recent issues of the report are compared vertically, and the development trend of the enterprise is analyzed.
(1) Analyze the total profit and its composition. Total profit consists of operating profit, investment income and net non-operating income and expenditure. Calculate the proportion of operating profit, investment income and net non-operating income and expenditure to the total profit respectively, and judge whether the profit structure is reasonable; By analyzing the proportion of main business profits and other business profits to operating profits, we can judge whether the structure of operating profits is reasonable. If the ratio of income from disposal of assets to investment income is too high, or the profit ratio of other businesses is too high, it shows that the business situation of the enterprise is abnormal and remedial measures must be taken.
(2) Analyze the gap between the current profit rate index and the target value. Profit rate can be used as a relative index to compare enterprises of different sizes in the same industry. The commonly used profit rate indicators are sales gross profit rate and net profit rate. Sales gross profit is the direct source of enterprise profits, so the analysis of sales gross profit is the top priority of income statement analysis. If the gross profit margin is too low, we should consider whether the price is low or the cost is high. If it is caused by price factors, it is necessary to analyze the advantages and disadvantages of price adjustment before making a decision. If it is caused by cost factors, it is necessary to analyze whether the enterprise has tapped the potential in reducing costs. If there is no room for adjustment of sales price and cost, it is better to increase sales according to the principle of small profits but quick turnover. Sales profit rate should also be analyzed. For goods with low profit margin, it is necessary to analyze whether the gross profit is low or the cost is high. If the cost is too high, we must make great efforts in cost control.
(3) Make a vertical analysis of each item in the income statement. It is a common method to compare the items in the income statement vertically. By comparison, we can find out the changing trend of the business trajectory of enterprises and analyze the reasons for this change.
List the profit amount of several periods, select the indicators of normal years as the base period in the historical data, calculate the increase and decrease amount and increase and decrease rate of the realized amount of each project's operating results (in the order of items in the income statement) relative to the base period, and analyze whether the completion of the current period is normal and whether the performance is increasing or decreasing.
Compare the current operating income composition and operating cost structure with a reasonable base period index, calculate the increase or decrease of the project structure, analyze the reasons for the structural change, and judge whether the structural change is normal and beneficial to the development of the enterprise.
Analyze the increase and decrease of cash sales income and credit sales income, and analyze the rationality of enterprise marketing strategy and collection strategy.
Since the implementation of the Accounting System for Business Enterprises, the schedule of the income statement-the sales profit schedule is no longer submitted to the outside world, but it should be carefully analyzed. By analyzing the table, we can know the business situation of the enterprise in detail, grasp the sales volume and turnover of its best-selling products and slow-selling products, grasp the operating profit of each product and its flexible space, and make the best business structure decision on the basis of finding out the market.
3. Analysis of cash flow statement
To analyze the cash flow statement, we should first analyze the structure of cash inflow and cash outflow and the ratio of inflow and outflow, and judge the rationality of cash income and expenditure structure. For a healthy growing enterprise, the net operating cash flow should be positive, the net investment cash flow should be negative, and the net cash flow financing should be positive and negative.
Secondly, using the data in the main table of cash flow statement, combined with the balance sheet and income statement, the ratio of net operating cash inflow to input resources is used to calculate the ability of enterprises to obtain cash. These indicators include sales cash ratio, net cash flow per share (or cash recovery rate of net assets) and cash recovery rate of total assets.
Sales cash ratio = net operating cash inflow ÷ main business income, reflecting the net cash obtained per yuan of sales income.
Cash recovery rate of net assets = net inflow of operating cash ÷ net assets × 100%, in which the average usage of net assets. Reflect the enterprise's ability to obtain cash per yuan of net assets.
Cash recovery rate of total assets = net inflow of operating cash ÷ total assets × 100%, and the average value of total assets is also used here. Reflect the enterprise's ability to obtain cash per yuan of total assets.
Finally, according to the relevant data in the schedule of cash flow statement, calculate the net income operation index and cash operation index, and judge the income quality accordingly.
The function of the schedule of the cash flow statement is to adjust the net profit to the net operating cash flow. The adjustment items in the table include non-cash expenses, non-operating income, net decrease (increase) of operating assets and net decrease (increase) of interest-free liabilities. Expressed as:
Net profit non-cash expenses-non-operating income+net decrease in operating assets (-net increase in operating assets) net increase in interest-free liabilities (-net decrease in interest-free liabilities) = net operating cash flow.
Among them, non-cash expenses = asset impairment reserve, depreciation of fixed assets, amortization of intangible assets, and amortization of long-term prepaid expenses (enterprises implementing enterprise accounting system should also add the reduction of prepaid expenses and the increase of accrued expenses);
Non-operating income = net income from the disposal of fixed assets, intangible assets and other long-term assets (net loss is marked with "-")-loss of scrapped fixed assets-investment income of financial expenses (loss is marked with "-")-deferred tax credit-deferred tax credit (enterprises that implement the accounting standards for business enterprises should also increase fair value change income or reduce fair value change loss);
Net decrease (increase) in operating assets = decrease (increase) in inventory and decrease (increase) in operating accounts receivable;
The net increase (decrease) of interest-free liabilities mainly refers to the increase (decrease) of operating payables.
The operating index of net income is the proportion of net operating income to net income, and the net income here is the net profit in the income statement. However, the net non-operating income mentioned here is not the operating profit in the income statement, because the fixed assets inventory loss, confiscation expenditure, donation expenditure, extraordinary loss, debt restructuring loss, asset impairment reserve and fixed assets inventory gain, confiscation income, non-monetary transaction income and subsidy income in non-operating income are all included in the net non-operating income. The calculation formula of net income operation index is:
Net income operating index = operating net income/net income = (net profit-non-operating net income)/net profit
The lower the index, the greater the proportion of non-operating income and investment income, indicating that the income quality is not good and the operating conditions are abnormal.
Cash management index is the ratio of net operating cash flow to due operating cash, and the calculation formula of this index is:
Cash operation index = net operating cash flow ÷ operating cash maturity = received operating cash ÷ operating cash maturity.
Cash generated from operating activities = net operating income, non-cash expenses = net profit-net operating income, non-cash expenses.
The index is less than 1, indicating that the quality of corporate income is not good. On the one hand, part of the income has not yet received cash, staying in the form of physical objects and creditor's rights funds. Whether the creditor's rights can be fully realized is still in doubt, and physical assets are more at risk of depreciation. On the other hand, the working capital of enterprises has increased, reflecting that enterprises occupy more working capital to obtain the same income, and the cost of obtaining income has increased, indicating that the same income represents poor performance.
2. Comprehensive analysis
Comprehensive analysis refers to calculating the relevant ratio by combining all financial statements, and analyzing the solvency, profitability and operational ability of enterprises through vertical comparison and horizontal comparison.
1. Analyze the meaning and calculation formula of common ratio indicators of solvency.
Besides asset-liability ratio and property right ratio, the solvency indicators of enterprises also include interest guarantee multiple, current ratio, quick ratio, ratio of current assets to total liabilities, ratio of net cash flow to due liabilities, ratio of net cash flow to current liabilities and ratio of net cash flow to total liabilities.
The calculation formula of relevant indicators is as follows:
Asset-liability ratio = total liabilities ÷ total assets × 100%
Property right ratio = total liabilities ÷ total owner's equity × 100%
Note that the numerator of both formulas is total liabilities,
Current ratio = current assets/current liabilities
Quick ratio = (current assets-inventory) ÷ current liabilities
Cash ratio = (notes receivable for short-term investment of monetary funds) ÷ Current liabilities
It should be noted that liabilities are the denominator and current liabilities are the denominator in these formulas.
Interest guarantee multiple = (total interest and total profit) ÷ interest expense
Interest protection multiple reflects the degree of protection of pre-tax profit and interest on total interest, and current ratio and quick ratio can reflect the short-term solvency of enterprises. The reasonable value of this index varies from industry to industry, so it is suggested that enterprises choose the industry average as the basis for comparison. As the liabilities will be repaid in cash, the ratio of net cash flow to due debts, net cash flow to current liabilities and net cash flow to total debts most directly reflect the solvency and the ability to borrow new debts.
The ratio of net cash flow to debt due = net operating cash flow ÷ current debt due.
Debt due in this period refers to long-term debt and notes payable due in this period.
Ratio of net cash flow to current liabilities = net operating cash flow ÷ current liabilities
The ratio of net cash flow to total debt = net operating cash flow/total debt.
2. Analyze the meaning and calculation formula of ratio indicators commonly used in profitability.
From the perspective of business indicators, the profit level is reflected in the gross profit margin and profit margin of sales; From the perspective of the combination of input and return, the measurement indicators of profitability include total return on assets, return on net assets, capital profit rate and net income per share; From the perspective of cash flow, the indicators of profitability include net cash flow per share, cash recovery rate of net assets and cash recovery rate of total assets.
The calculation formula of relevant indicators is as follows:
(1) Return on total assets = average total assets in earnings before interest and tax × 100%.
The income before interest and tax = total profit interest expense.
Average total assets = (total assets at the beginning and total assets at the end) ÷2
(2) Cost of sales = main business cost ÷ main business income × 100%
(3) Sales expense ratio = period expense ÷ main business income × 100%.
The period expenses mentioned here include not only operating expenses, financial expenses and management expenses, but also main business taxes and surcharges.
(4) Net profit rate of sales = net profit ÷ main business income × 100%
(5) Return on equity (also called return on equity) = net profit ÷ average net assets × 100%.
Average net assets = (total owner's equity at the beginning and total owner's equity at the end) ÷2
After decomposing the net interest rate of equity, the formula becomes
Net interest rate of equity = net interest rate of sales × total assets turnover rate × equity multiplier
Equity multiplier = 1( 1- asset-liability ratio)
(6) Profit rate of capital = total profit ÷ total paid-in capital × 100%.
If the capital changes during the accounting period, the average capital in the formula is used.
Average capital balance = (balance of paid-in capital at the beginning and balance of paid-in capital at the end) ÷2
The profit rate of capital reflects the profitability of investors investing in enterprise capital. The higher the ratio, the higher the utilization effect of capital and the stronger the profitability of enterprise capital. On the contrary, the lower the ratio, the lower the efficiency of capital utilization and the weaker the profitability of enterprise capital.
(7) Cash recovery rate of net assets = net operating cash inflow ÷ net assets × 100%, in which the average net assets are adopted.
(8) Cash recovery rate of total assets = net inflow of operating cash ÷ total assets × 100%, and the average value of total assets is also used here.
3. Analyze the meaning and calculation formula of ratio indicators commonly used in operational capacity.
Operational capacity indicators include accounts receivable turnover, inventory turnover, net working capital turnover rate, current assets turnover and total assets turnover. The calculation formula of relevant indicators is as follows:
Business cycle = average collection cycle of inventory turnover days
Average collection period =360 days ÷ Accounts receivable turnover rate
Accounts receivable turnover rate = main business income ÷ average accounts receivable
And the average accounts receivable = (total accounts receivable at the beginning and total accounts receivable at the end) ÷2.
Inventory turnover days =360 days ÷ inventory turnover rate
Inventory turnover rate = main business cost ÷ average inventory
And the average inventory = (total inventory at the beginning and total inventory at the end) ÷2.
Working capital turnover days =360 days ÷ working capital turnover rate
Accounts receivable turnover rate = main business income ÷ average working capital
Average working capital = (total current assets at the end of the period-total current liabilities at the end of the period) (total current assets at the beginning-total current liabilities at the beginning) ÷2
The net working capital turnover rate is the ratio of sales revenue to the average occupation of net working capital, which is the difference between current assets and current liabilities. It is the part of current assets supplied by long-term sources of funds, and it is the capital that enterprises constantly use in their business activities. The more abundant funds, the more timely repayment of short-term debts can be guaranteed, but the profitability will definitely decrease. The faster the turnover, the more effective its operation. When the gross profit is greater than 0, the faster the accounts receivable turnover rate and inventory turnover rate, the more profits; When the gross profit is less than 0, the faster the turnover rate of accounts receivable and inventory, the more losses. The faster the turnover rate of current assets, the corresponding savings of working capital, which is equivalent to relatively expanding asset investment and enhancing the profitability of enterprises. The faster the turnover rate of total assets, the stronger the sales ability of enterprises. Enterprises can speed up the turnover of assets through small profits but quick turnover, thus bringing about an increase in the absolute amount of profits.
Analyze entities according to different financial reports
The main body of financial report analysis is the report users in the usual sense, including equity investors, creditors, management, government agencies and other people and institutions related to enterprises. Other people and institutions related to enterprises include financial departments, tax departments, state-owned assets supervision and administration departments, social intermediary institutions and so on. Users of these statements use financial reports for different purposes and need different information.
1. Enterprise Management Analysis
Enterprise management, also known as managers, is concerned about the remuneration obtained according to the business performance of enterprises, and the quality of business performance is reflected by financial reports. Generally speaking, their group interests and enterprise interests are consistent, so their analysis of financial reports is also comprehensive and thorough. They not only pay attention to the achievements in the business process, but also pay attention to the problems existing in the business process and the mistakes in the revision of financial analysis ideas, and formulate improvement measures by analyzing the causes of mistakes and problems, so as to achieve more brilliant results in the next stage. The financial report analysis ideas introduced earlier are basically from the perspective of enterprise management. The financial proportion indicators they pay attention to are generally designed according to the assessment requirements of shareholders. The financial indicators mentioned above are basically involved, and there are even indicators such as capital preservation and appreciation rate and capital accumulation rate. In order to achieve business performance, they may be more willing to take risks and use financial leverage to obtain greater benefits.
2. Investor analysis
Investors who use financial reports, that is, ordinary shareholders, are concerned about the solvency, profitability and risks of enterprises. They analyze financial reports to answer three questions:
(1) the current and long-term income level of the company;
(2) Under the current financial situation, what risks and rewards are determined by the company's capital composition;
(3) Compared with other competitors, what is the status of the company?
In general, their business objectives are the same as those of enterprise management, because the purpose of controlling shareholders' investment in enterprises is to maximize owners' rights and interests, and the purpose of non-controlling shareholders' investment in enterprises is to obtain high investment returns.
They analyze financial reports and judge the development trend of enterprises mainly by analyzing their financial structure, solvency, profitability and operational ability.
Financial structure includes capital structure and asset structure. Capital structure is the ratio of liabilities to owners' equity in capital sources, which is reflected by asset-liability ratio or property right ratio. Under normal circumstances, the reasonable capital structure should be 4: 6 or 5: 5, but in real life, it is not so absolute. For the management and shareholders of an enterprise, as long as the total rate of return on assets is much higher than the debt interest rate and the debt ratio is moderately increased, they can enjoy the benefits brought by financial leverage (that is, tax savings and improved return on net assets). Asset structure is the ratio of all kinds of assets mentioned above to total assets. Through the analysis of asset structure, pay attention to whether the resource allocation of enterprises is reasonable.
The solvency includes long-term solvency and short-term solvency, and the analysis of short-term solvency cannot be separated from the calculation of current ratio, quick ratio, cash ratio and interest guarantee multiple. To analyze the long-term solvency, it is necessary to calculate the ratio of long-term assets to long-term liabilities. If the ratio is greater than 1, it shows that the enterprise has strong long-term solvency. The solvency reflects the financial risk of an enterprise. You should know that shareholders are afraid of risks.
The analysis of profitability depends not only on the profitability of enterprises engaged in production and business activities in an accounting period, but also on the ability of enterprises to obtain higher profits stably in a long period of time. The profitability of production and operation mainly depends on the gross profit rate of sales, net profit rate of sales, return on total assets, net interest rate of equity and the ability to obtain net operating cash flow from unit net assets (expressed by net operating cash flow per share in joint-stock companies and by the quotient of net operating cash flow and average net assets in non-joint-stock companies). When analyzing, we should not only observe the indicators of one accounting period, but also dynamically observe the development trend of profitability through the indicators of several accounting periods to judge whether the operating risk and income level are symmetrical.
To analyze operational capacity, it is necessary to calculate the ratio of working capital, accounts receivable turnover, inventory turnover, net working capital turnover, current assets turnover and total assets turnover, and the level of operational capacity ultimately depends on profitability indicators.
Sometimes there will be conflicts of interest between management and shareholders. In order to get a high salary, management often whitewashes the fictitious performance of financial reports by manipulating profits. Pay attention to the ratio of net operating cash flow to net profit in several periods, and see how much net profit in each accounting period is guaranteed by cash. There is generally no cash flow when enterprises manipulate book profits. If the ratio of net operating cash flow to net profit is too low, there may be false profit and real loss. In the long run, the net operating cash flow and net profit of an enterprise should be consistent, and the long-term gap is definitely problematic.
3. Creditor analysis
Creditors are concerned about whether the enterprise has the ability to repay debts, and their decision is to decide whether to provide credit to the target enterprise and whether to recover the creditor's rights in advance. The purpose of their analysis of the report is to answer the following four questions:
(1) Why does the company need to issue additional funds;
(2) What are the possible sources of funds needed by the company to repay the principal and interest?
(3) Whether the company can repay the early short-term loans and long-term loans in full and on time;
(4) In what aspects the company may need to borrow money in the future.
Creditors need to observe the financial report information of enterprises for three to five years, analyze the changing trend of related items in financial reports, and pay attention to the changing trend of related proportions. Relevant proportional indicators commonly used in the banking industry and their reference standards are as follows:
Solvency index
Asset-liability ratio (reference value is 65%-85%)
Flow ratio (reference value is 150%- 100%)
Quick action ratio (reference value is 100%-50%)
Bank cash reserve ratio
Interest guarantee multiple (reference value is 1.5— 1)
Profitability index
Return on assets (reference value is 10%-3%)
Cost of sales rate
Sales expense ratio
net profit margin on sales/net profit margin
Return on net assets (net interest rate on equity)
Operational capability index
Accounts receivable turnover days
Inventory sales days
Working capital turnover days
Working capital limit
Turnover days quota
Capital index
Cash payment ability
Working capital requirements
4. Evaluation and analysis of taxpayers
The tax assessment of enterprises by tax authorities is mainly for the needs of tax inspection, and the purpose of its assessment and analysis is to see whether enterprises are suspected of tax evasion, tax evasion and tax evasion. The general evaluation begins with the analysis of tax burden, and then analyzes the situation that the tax burden is lower than the normal peak.
1, VAT evaluation ideas
The analysis and evaluation of value-added tax payment begins with the calculation of tax burden.
VAT tax rate (hereinafter referred to as tax rate) = current taxable amount ÷ current taxable main business income.
Then compare the tax rate with the change rate of sales volume with its normal peak. If the change rate of sales is higher than the normal peak, the tax rate is lower than the normal peak, the change rate and tax rate of sales are lower than the normal peak, and the change rate and tax rate of sales are higher than the normal peak, they can all be included in the scope of doubt. According to the tax returns, balance sheets, income statements and other relevant tax information submitted by the enterprise, the gross profit is calculated.
The evaluation of output tax should focus on checking whether there are problems such as off-balance-sheet operations, concealing and delaying taxable sales, confusing the scope of value-added tax and business tax, and misusing tax rates.
The evaluation of input tax is mainly based on the analysis of the control index of input tax in this period. Control amount of input tax in the current period = (the amount of inventory at the end of the period increased compared with the beginning, and the amount of accounts payable at the end of the period decreased compared with the beginning) ××× VAT rate of main purchased goods×× freight expenditure in the current period× 7%.
2. Thinking of enterprise income tax evaluation.
The analysis and evaluation of enterprise income tax payment should start with four first-class indicators, namely, income tax rate (tax rate for short), main business profit tax rate (tax rate for short), income tax contribution rate and main business income change rate.
Income tax rate (tax rate for short) = income tax payable in the current period ÷ total profit in the current period × 100%.
Tax rate of main business profits (hereinafter referred to as negative tax rate) = income tax payable in the current period ÷ total profit of main business in the current period × 100%.
Income tax contribution rate = income tax payable in the current period ÷ total income of main business in the current period × 100%.
Change rate of main business income = (main business income in the current period-main business income in the base period) ÷ main business income in the base period × 100%
If the first-level indicators are abnormal, it is necessary to use the relevant indicators in the second-level indicators for review and analysis, and further analyze the abnormal situation and reasons in combination with raw materials, fuel and power. The secondary indicators mentioned here include the main business cost change rate, main business expense change rate, operating expenses (management and finance) change rate, main business profit change rate, cost expense rate, cost profit rate, income tax burden change rate, income tax contribution change rate and income tax payable.
If the second type of indicators are abnormal, it is necessary to use the relevant indicators affected by the third type of indicators for review and analysis, and further analyze the abnormal situation and reasons in combination with raw materials, fuel and power. The three indexes mentioned here include inventory turnover rate, comprehensive depreciation rate of fixed assets, increase and decrease of non-operating income and expenditure, pre-tax compensation loss deduction limit and pre-tax expense deduction index.
Remember to adopt it if it helps. Oh, thank you!