CameraIcon

SearchIcon

MyQuestionIcon

1

You visited us 1 times! Enjoying our articles? Unlock Full Access!

Significance of Financial Analysis

Comparative s...

Question

Comparative statement when prepared for comparing the enterprise's financial statements with that of another enterprise, is known as Inter-firm comparison.

A

True

Right on! Give the BNAT exam to get a 100% scholarship for BYJUS courses

B

False

No worries! We‘ve got your back. Try BYJU‘S free classes today!

Open in App

Solution

The correct option is A True
True. Comparative analysis is comparison of various ratios balances of different years. It is basically done to understand the trend of the company. When the comparison is done between the firms its known as inter firm comparison.

Suggest Corrections

thumbs-up

0

Similar questions

Q. Comparative Statement when prepared for comparing the enterprise's financial statements of two or more years, is known Intra-firm Comparison.

Q. Comparative Financial Statements mean comparative study of items or components of financial statements for two or more years or with that of other enterprises.

Q. Comparative financial statements are prepared at the end of __________ .

Q. A _____________ is a document that compares a particular financial statement with prior period statements or with the same financial report generated by another company.

Q. When two or more firms join together to establish a new enterprise, then it is known as .

View More

Join BYJU'S Learning Program

similar_icon

Related Videos

lock

Introduction

ACCOUNTANCY

Watch in App

explore_more_icon

Explore more

Significance of Financial Analysis

Standard XII Accountancy

Join BYJU'S Learning Program

CrossIcon