Which among the following are the commonly used tools for financial analysis?

(A) Horizontal analysis
(B) Vertical analysis
(C) Ratio analysis
(D) Trend analysis

Choose the correct answer from the options given below:

(A), (B), (C) and (D)

The correct answer is Option (3) → (A), (B), (C) and (D)

All the listed techniques are commonly used tools for financial analysis:

(A) Horizontal analysis: Compares financial data across two or more consecutive time periods to identify trends and growth rates (also known as Comparative Financial Statements). 

(B) Vertical analysis: Expresses each line item in a financial statement as a percentage of a base amount (e.g., Revenue for an Income Statement or Total Assets for a Balance Sheet). This is used for common-size statements and comparison across different-sized companies.

(C) Ratio analysis: Involves calculating and interpreting key financial ratios (liquidity, solvency, profitability, efficiency) to assess a company's financial health.

(D) Trend analysis: A form of horizontal analysis that looks at financial data over a series of years (three or more) to spot long-term patterns and shifts in performance.