Practicing Success
Interpretation of Financial Statements includes: |
Criticisms and Analysis Comparison and Trend Study Both 1 and 2 None of the above |
Both 1 and 2 |
The term ‘financial analysis’ includes both ‘analysis and interpretation’. The term analysis means simplification of financial data by methodical classification given in the financial statements. Interpretation means explaining the meaning and significance of the data. These two are complimentary to each other. |