Question : Which of the following is a method for analyzing financial statements?

Option 1: Variance analysis

Option 2: Trend analysis

Option 3: Break-even analysis

Option 4: None of the above

Question : Which of the following are techniques, tools or methods of analysis and interpretation of financial statements?

Option 1: Ratio Analysis

Option 2: Average Analysis

Option 3: Trend Analysis

Option 4: All of the above

Question : Choose which of the following statements is correct?

Option 1: Horizontal Analysis requires financial statements of two or more accounting periods.

Option 2: Vertical Analysis requires financial statement of one period.

Option 3: Both 1 and 2

Option 4: None of the above

Question : Choose which of the following statements is true.

Option 1: Determining operating efficiency and profitability is not an objective of financial analysis.

Option 2: Financial analysis is used for credit analysis.

Option 3: Financial Statement analysis does not ignore qualitative elements.

Option 4: None of the above

Question : Choose which of the following statements is true.

Option 1: Determining operating efficiency and profitability is not an objective of financial analysis.

Option 2: Financial analysis is used for credit analysis.

Option 3: Financial Statement analysis does not ignore qualitative elements.

Option 4: None of the above

Question : Which of the following statement is correct with respect of Analysis of Financial Statements?

Option 1: Analysis of Financial Statements is a systematic process of analyzing the financial Information in the financial statements to understand and take economic decisions.

Option 2: Analysis of Financial Statements is a study of relationships among various financial values as set out in the financial statements, i.e., Balance Sheet, Statement of Profit and Loss and Cash Flow Statement.

Option 3: Financial Statement Analysis is largely a study of relationships among the various financial factors in a business,

Option 4: All of the above