RATIO & PROPORTIONS

Ratio and proportion statement describes relationships with two elements of financial calculation. In some certain situations, qualities and quantities of elements are recognized. Proportion is the equation of two financial elements to identify increasing or decreasing performance. The ratio is useful to compare the proportions to express the relationship with the same unit. Calculating Ratios and proportions are useful to illustrate effective solutions for different types of dimensional problems. Sometimes two anticipated subjects are systematically compared by the Ratio and proportion. The equation of two ratios is systematically measured by the major functions to compare systematic processes.

Proportion is a quality of two ratios

The proportion is a quality of two ratios that establish equivalent ratios to resolve unknown quantities. Sometimes equivalent ratios are multiplying with both parts to create a basic solution. The proportional relationship depends on some unknown quantities which are useful to multiply by the same numbers. A numeric factor of a ratio is calculated by the variable sources which describe the corresponding part of the other ratio. Ratio and proportion are useful to compare the two different values with the help of questionnaires. Sometimes the important concept or functions are appropriately dealing with the business to make reliable business solutions. An individual ratio can be highlighted by the individual equation or models to cover the basic distance with profit and losses. In certain situations, two different ratios are equal and do not compare the overall equation of business. Ratio and proportion define the relationship between two or more objectives of the business.   

Sometimes the same amount of numbers can be identified by the objectives which discuss the key elements of the business. Ratio and proportion cannot compare the same numbers of the business and find out numerous solutions of the business. Ratios are the major components of the business which is involved in the day to day life. They play a major role in comparing and contrasting the numerous financial elements. Sometimes ratios describe common results and describe the new concepts of two different ratios. However, it is a difficult concept to make reliable solutions for the problems as well as a detailed approach. 

Innovative idea and concept

Innovative ideas and basic concepts of the business are involved by the potential factors of the business. During the innovation process, realism business finance is the potential to compare financial statements of the business. Innovative ideas are the potential to compare financial statements by the Ratio and proportions. Innovative ideas are important to involve basic solutions of the business. The concept of innovation includes economical growth which is useful to involve bigger solutions of the business. To compare business value ratio and proportions is an innovative idea to resolve long term difficulties. Innovativeness ratio analysis is the method that makes reliable solutions for financial conditions.    

Innovative factors involve new possibilities to compare different types of business values. The capacity and competitiveness of generating profit are identified by the beneficial situation of the business. Some innovative solutions are engaged by the innovations management to identify current solvency. Long term solvency improves market success and innovative decisions have to be improved by the Ratio and proportions. The economic development of a business is included by innovative approaches. Due to various difficulties, innovative activities can be tasted which describes the main factors of the business.   

Compare tangible and intangible assets by a ratio

Tangible and intangible assets are common in a business and which is compared by the basic knowledge of the Ratio and proportion. Complete authorization of the business can be systematically measured by the indicators to identify legal elements of the business. The innovative decision of the business is potential which involves common practices of the business. Sometimes common business difficulties can be eliminated by using financial statements to enhance the actual capacity of the business. Sometimes tangible and intangible business elements are systematically measured by the Ratio and proportions

Innovativeness evaluation

The innovative solutions of the business are systematically measured by the innovative decision making process. Investment knowledge is most important to a start-up plan for any business organisation and ratio analysis involves innovative decision making processes to compare and contrast financial conditions. Innovative decision making processes can be measurable by the produced cash flows which depend on return on innovation investment. Comparing two or more financial components ratio and proportion is the best way and more reliable to identify financial elements.  

Conclusion

Based on the above discussion it can be concluded that investment comparison is required to compare the financial statement of a business. Ratio and proportion sometimes depend on equivalent equation models or approaches which appropriately compare profitability. The current investment process is important to analyse long term business opportunities. Profitability and net income of the business are systematically described by the operating efficiency to measure strength as well as opportunities. Individual companies are trying to identify the financial statement by comparing assets over equity. The rate of interest of a business is systematically measured by the ratio and proportions of the business.