Match List-I with List-II

List-I

(A) Comparative Statement

(B) Common Size Statement

(C) Ratio Analysis

(D) Trend Analysis

List-II

(I) Expressing all items as % of a common base.

(II) Determining direction of movement over several years

(III) Evaluate relationship among items of a balance sheet and a statement of profit and loss of a firm.

(IV) Shows changes in items over two or more periods

Choose the correct answer from the options given below:

(A) - (IV), (B) - (I), (C) - (III), (D) - (II)

Correct answer: Option (3) → (A) - (IV), (B) - (I), (C) - (III), (D) - (II)

Concept: Tools of analysis of financial statements, per Analysis of Financial Statements.

(A) Comparative Statement – shows changes in items over two or more periods → (IV).
(B) Common Size Statement – expresses all items as a percentage of a common base → (I).
(C) Ratio Analysis – evaluates the relationship among items of the balance sheet and statement of profit and loss → (III).
(D) Trend Analysis – determines the direction of movement over several years → (II).
Thus A-IV, B-I, C-III, D-II.