ABSTRACT

The purpose of this research project was embarked to find out how financial statement analysis serves as a basis for evaluating corporate performance of an organization. Thus research project was embark on because most investment companies do not implement evaluation of their corporate performances and analysis of their financial statement that will enhance their investment opportunities moreover, most investment companies do not study investment proper as to not study investment proposal as to evaluate their corporate performance and make meaningful decision before investing their resources. In conducting this research, I made use of extensive field research, information was collected via primary and secondary. Primary sources were collected from questionnaire while the secondary were from textbooks, journal, periodicals and other related literature. The population of thus study includes all the management and account staff working in the P-Z including plc Aba, Abia State. The companies have a total population of 200. 1 made use of 100% of the population as my sample size determined by taro yamme method. It was found from the result therein that managers and investors find it helpful and convenience to analyze financial statement when evaluating the corporate performance for available investment opportunities and that investment decision are evaluation are geared towards profit maximization. Consequently, the following recommendation were offered to potential investors and investors that the should engage or evaluate and analyze investment opportunities before embarking on it to avoid investment failure and also to make effective use of profitability ratio since it was indicated the most effective ratio in the research study.