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Financial management is a managerial activity which is concerned with planning and controlling of the firms resources, performing tasks such as Budgeting, financial forecasting, cash management, credit administration, investment analysis and funds procurement. Financial performance is an important aspect which influences the long term stability, profitability and liquidity of the organization. Financial statements are an input for financial analysis to examine the firm's performance. Different information users require a financial analysis report to make a financial decision. As a result, financial analysis is essential to determine how a firm achieving its financial objectives. Different tools of analysis such as ratios are used to evaluate the financial position of a firm. Such financial ratios are categorized mostly in to five categories: liquidity, solvency, profitability, repayment capacity and financial efficiency. This book has covered all of these financial ratios and evaluated the financial performance of the multipurpose cooperative societies rationally. A trend analysis and Industry average analysis was also used as an approaches of analysis.