Which of the following is not true about Comparative Statements:

The correct answer is Option (2) → This analysis is also known as 'vertical analysis'.

Horizontal Analysis is the term used for the analysis of Comparative Statements, where the data is compared across different periods to observe trends. Vertical Analysis is the technique used in Common Size Statements, where every item is expressed as a percentage of a base figure within the same reporting period (e.g., Sales in the P&L, or Total Assets in the Balance Sheet)