When using financial ratios, factors that needs to be considered are;

• Comparing ratios for the company’s current year with those of preceding years, e.g., 5 to 10 years;

• Comparing ratios of the company with those of its competitors (These can be obtained from the published financial statements of competitors); and

• Comparing the company’s ratios with ratios for the industry in which the company operates. (Industry statistics can be obtained from annual publications of trade associations; for example, TUSIAD publishes such ratios for various industries. For some of the ratios, data can be obtained from weekly stock exchange magazines or internet databases.)

Therefore, the correct answer is E.