Definition of Ratio Analysis A ratio is simple arithmetical expression of the relationship of one number to another. It may be defined as the indicated quotient of two mathematical expressions. According to Accountant's Handbook by Wixon, Kell and Bedford, "a ratio is an expression of the quantitative relationship between two numbers". Ratio Analysis Ratio Analysis is the process of determining and presenting the relationship of items and group of items in the statements. According to Batty J. ...

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