THE ROLE OF PUBLIC ACCOUNTANTS IN FINANCIAL STATEMENT ANALYSIS
This research explores the role of public accountants in financial statement analysis. The objectives are to evaluate the techniques used by public accountants in analyzing financial statements, to assess the impact of financial statement analysis on decision-making, and to identify the challenges faced in conducting comprehensive financial analysis. A survey research design was chosen to collect data from public accountants and financial analysts. Using Taro Yamane's formula, a sample size of 215 respondents was selected to ensure statistical significance. The study focuses on Lagos, Nigeria, due to its vibrant financial market and diverse business environment. The reliability coefficient score for the survey instrument was 0.88, indicating high reliability. Findings reveal that techniques such as ratio analysis, trend analysis, and cash flow analysis are commonly used by public accountants to evaluate financial statements. Financial statement analysis significantly impacts decision-making by providing valuable insights into a company's financial health and performance. However, challenges such as data quality issues, time constraints, and the complexity of financial data were identified. The study recommends that public accounting firms invest in advanced analytical tools and provide continuous training for their staff to enhance their financial statement analysis capabilities.
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