Abstract:
Due to the sublimation and perfection of human knowledge in economics, the
concept of efficiency developed in the past two decades and the measurement of
it, based on different theories and practice. In economics, efficiency means the
maximum of possible output from a certain amount of input. The efficiency is
very important for developing countries Because these countries face to a shortage
of inputs, production factors and technologies. So the usage of existing resources
is critical for these countries. This paper aims to evaluate and rank the financial
performance of the chemical firms listed in Tehran stock exchange. We Use the
data environment analysis and TOPSIS methods. This research includes one major
question that which company performs better due to the financial ratios. The sample
includes the firms in Tehran Stock Exchange within a 3-year period (2013-
2015). The Results show that Ahvas Petrochemical company, Persian Gulf Petrochemical
Industry company and Iran Chemical Industries company are more
efficient than others
Machine summary:
Financial; Performance; TOPSIS ABSTRACT Due to the sublimation and perfection of human knowledge in economics, the concept of efficiency developed in the past two decades and the measurement of it, based on different theories and practice.
This paper aims to evaluate and rank the financial performance of the chemical firms listed in Tehran stock exchange.
This research includes one major question that which company performs better due to the financial ratios.
1 Introduction Evaluating firm performance using financial ratios has been a traditional yet powerful tool for deci- sion-makers, including business analysts, creditors, investors, and financial managers.
Seeking excellence and perfection of human knowledge in economics, efficiency concept developed in the last two decades, based on different theories, its measurement is possible and practical.
In economics, efficiency means maximum produc- tion output is possible by using a certain amount of input into two sections.
Use of financial ratios to assess the firm performance is not new.
For instance, Horrigan [12] claimed that the development of financial ratios ought to be a unique product of the evolution of accounting procedures and practices in the U.
In fact, a vast majority of the recent studies focused on analyzing and potentially predicting bankruptcy as a means to identify char- acteristics (in term of financial ratios) of good or bad-performing firms and their potential val- ues.
O. , Some empirical bases of financial ratio analysis, The Accounting Review, 1965, 40(3), P.