Analysis of the financial statement of an enterprise over a period of time is known as: |
Static Analysis Time Series Analysis External Analysis Cross-sectional Analysis |
Time Series Analysis |
It essentially involves regrouping and analysis of information provided by financial statements to establish relationships and throw light on the points of strengths and weaknesses of a business enterprise, which can be useful in decision-making involving comparison with other firms (cross sectional analysis) and with firms’ own performance, over a time period (time series analysis). |