Unit 2: Financial Statement Analysis – Discussion

Unit 2: Financial Statement Analysis – Discussion.

Standard Industry Classifications, How are you doing compared to others?

Standard Industry Classification codes (SIC) are used for financial statement “benchmarks” analysis. Your company’s financial results would need to be compared to others. SICs provide the format to compare a particular company’s financial data to their respective SIC-industry averages.

Explain how you would use SIC codes to analyze a Company Xs Accounts Receivable Turnover of four times per year versus a SIC rate of eight times per year.

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Unit 2: Financial Statement Analysis – Discussion

 
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