Question 2 of 29beginner🧠 RememberFill in the Blanks1 mark
Comparative analysis is also known as ____analysis.
Correct Answer
horizontal
Exercise: Test your Understanding – I | Q: 3 | (Page 5)
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Explanation
The provided context explicitly states under the section '4.4 Tools of Analysis of Financial Statements' that comparative statements indicate the trend and direction of financial position, and that 'This analysis is also known as horizontal analysis'. Additionally, the multiple-choice question in the context confirms that comparative statements are known as horizontal analysis.