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easyMCQCUET Accountancy 2022 8 Aug Shift 22026Accountancy
1 mark

Common size statements are the form of:

  1. A
    horizontal analysis
  2. B
    vertical analysis
  3. C
    dynamic analysis
  4. D
    trend analysis

Solution & Step-by-step Explanation

Common size statements convert financial data of a single period into percentages of a base figure, which is the definition of vertical analysis.

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Common size statements are the form of:
A
horizontal analysis
B
vertical analysis
C
dynamic analysis
D
trend analysis

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