Which of the following analysis is included in the comparative statement analysis of a company?

A) Comparative balance sheet
B) Comparative income statement
C) Horizontal analysis
D) Vertical analysis

Choose the correct answer from the options given below.

AB

The correct answer is option 4- AB.

Comparative Statements (Horizontal Analysis): These statements refer to the statement of profit and loss and the balance sheet prepared by providing columns for the figures for both the current year as well as for the previous year and for the changes during the year, both in absolute and relative terms. As a result, it is possible to find out not only the balances of accounts as on different dates and summaries of different operational activities of different periods, but also the extent of their increase or decrease between these dates. The figures in the comparative statements can be used for identifying the direction of changes and also the trends in different indicators of performance of an organisation.

* Horizontal analysis is the another name for the analysis made through the for the comparative statement.