Abstract
This paper looks at the distributional aspects of financial ratios drawn from a number of firms quoted on the Irish Stock exchange. It is shown that many of the fundamental assumptions that underlie traditional financial statement analysis are not present - a result that is frequently found in other countries. Data indicates that many of the ratios studied for Irish companies do not conform to these requirements either. Nor are they normally distributed. This implies that traditional financial ratio analysis may not be a good guide to the health of the companies being analysed - account should be taken of any known violations of the theoretical model.
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