Quality of earnings: An accounting model for analysing corporate performance

Authors

• M S Narasimhan, Indian Institute of Management Calcutta
• G Balasubramanian, Institute for Financial Management and Research, Chennai

Document Type

Article

Abstract

Strategic planning is the  process of deciding how to commit the firm’s resources across its business activities to create value. It i - cludes decisions on committig resources to new projects as well as improving existing activities The success of strategic planning depends on the extent to which the firm understands itself and the enviro - ment, particularly the industry and the market in which it operates. In the context of selfassessment and the firm’s relative position in the environme t, the ratios of key financial variables help firms gain an insight into their operating performance and financial health. However, the conventional financial ratios generally assess the health of the firm independent of its e -vironment.

Recommended Citation

Narasimhan, M S and Balasubramanian, G (2000) "Quality of earnings: An accounting model for analysing corporate performance," IIMB Management Review: Vol. 12: Iss. 4, Article 9.
Available at: https://research.iimb.ac.in/imr/vol12/iss4/9

Publication Date

12-1-2000

First Page

35

Last Page

42