What is the primary difference between financial statement analysis and operatin

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Financial statement analysis goals is to analyze the financial health of the company using various tools of financial analysis of various financial documents such as balance sheet, profit and loss account, and cash flows. Operating indicator analysis basically tools know how company is performing according to the goal set by the company and management, for example, a company set a goal to produce 1000 units a day if it operating indicator analysis it was found that average per company is only producing 800 units than management will see this as deficit and act upon that .

Both types of analysis help investors to know whether the company is financially viable to produce a financial result in future and how the company is performing according to the goal set the management. For health services managers financial analysis can help in multiple ways one may be to know the daily cash required in the business or inventory management on the other side for quality check and how the company is progressing health service manager can use operating indicator.

Both type of analysis required data which has been collected over a long period of time but both statement can help in planning and forecasting the future events.

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