Which of the following tools are used for the comparison of financial statements?
Answer & explanation
Correct answer: option 4
The correct answer is option 4- All the above.
Commonly used tools of financial analysis are: Comparative statements, Common size statement, trend analysis, ratio analysis, and cash flow analysis
Option 1 Comparative Income Statement- It is a tool under comparative statement analysis.
Option 2 Common-size Statement- It is a tool of analysis
Option 3 Comparative Balance Sheet- It is a tool under comparative statement analysis.