The financial statements can fully reflect the financial status, operating results and cash flow of the enterprise. But simply from the data on the financial statements, it can not directly or comprehensively explain the financial situation of the enterprise, especially the quality of the enterprise's business situation and the level of the business results. Only by comparing the financial indicators of the enterprise with the relevant data can the status of the enterprise's financial situation be explained. Therefore, the analysis of the financial statements should be carried out.