Practicing Success

Target Exam

CUET

Subject

Accountancy

Chapter

Analysis of Financial Statements

Question:
Study of relationship between various items of financial statements is called ?
Options:
Vertical analysis
Dynamic Analysis
Structural Analysis
Ratio Analysis
Correct Answer:
Ratio Analysis
Explanation:
Ratio Analysis: It describes the significant relationship which exists between various items of a balance sheet and a statement of profit and loss of a firm.