Question : Horizontal analysis reviews and analyses financial statements of ………….
Option 1: Ignores price level changes
Option 2: Two or more accounting period
Option 3: Either 1 and 2
Option 4: None of the above
Answer (1)
16th Jan, 2024
Correct Answer: Two or more accounting period
Solution : Answer = Two or more accounting period
A technique for examining financial accounts that compares data from several accounting periods is called horizontal analysis. Another name for it is trend analysis.
Hence, the correct option is 2.
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