¶ … financial health of an organization is what is most important in the case of a joint venture assessment. This may be short-term solvability (liquidity), long-term debt situation or efficiency in using the assets. As such, an important question that the investor needs to ask himself first of all is what will be the goal of the joint venture. Accordingly, he may assess which is more important. In my opinion, the first and most important financial ratios that give us the best idea of the company's financial health are the liquidity ratios. Indeed, these give us the best clue on the company's short-term financial health. In the case of a joint venture, the worst thing would be to discover a series of short-term liabilities we need to cover and discover that the short -- term assets...
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