The data to be analyzed must be complete and reliable, that is, should not be altered during the year, this is because if they did the analysis could change.
There are several closures during the financial year: the monthly, semi-annual and annual basis.
The annual closure is the official audited accounts, the monthly and semi-annual financial statements have no relevance in the official and in fact are called trial balances and are used to verify the financial status during the year. So all the records must be submitted by 5th of the following month, including VAT. The account of VAT will not be changed after the preparation of trial balance, because if it did this would be akin to the false accounting. The VAT, in fact, is paid mostly on a monthly basis and then if you were to change the VAT register of the last month or previous months, after it has paid its debt to the state budget would be distorted and the whole scam would become state for non-payment. It's important to close the scriptures in good time and not change them.
The order of the accounts must be impeccable for effective analysis, otherwise it would create an analysis that imperfect reduced to a stalemate all decisions made.
The analysis must be done for each sector that contributes to the business; thus accounting active, passive, tax, inventory, employees, management, marketing, etc. etc.
After that you will have the partial analyzes, which usually make the head office after reading the official data, there shall be a general analysis to determine the health of the company.
The analysis capabilities is very important to make the decision guiusta can save the company or take the wrong one to ruin.
There is a technical method for the analysis accounting experience is now the only truly effective insight and excellent knowledge of the market turning around the company.
Rashna