Horizontal analysis
A) is also called trend analysis.
B) can be carried out on statement of financial position data but not on income statement data.
C) is a technique for evaluating a financial statement item in the current year with other items in the current year.
D) uses the base year as the most current year being examined.

Question

Quizplus · Accepted Answer

Horizontal analysis is also known as trend analysis, as it involves comparing financial data over multiple periods to identify trends and patterns.

Horizontal Analysis