Financial statements are a source of information for customers, creditors, managers, employees, regulators and other stakeholders of a firm to assess its past and future performance. The quantity of information available from the financial statements can be quite inundating. Financial statement users, therefore, adopt ratio analysis to counter this burden of information overload and get an accurate picture of the firm performance.
Analysis of the financial statements of a company reveals important information to its stakeholders thereby leading them to make inferences about its financial condition and attractiveness as an investment.
This paper will scrutinize the financial statements of Muslim Commercial Bank (MCB),