Which of the following best describes trend analysis?
A)calculating key ratios to evaluate performance
B)expressing each figure as a percentage of a budgeted figure
C)comparing a company's financial statements with that of other companies
D)expressing each year's figures as a percentage of the base year figures

Question

Quizplus · Accepted Answer

Trend analysis involves expressing each year's figures as a percentage of the base year figures, allowing for comparison of performance over time. This allows for identification of trends and changes in performance that may require action.

Which of the Following Best Describes Trend Analysis