Using comparative statements to identify changes in key account values over time is called _____.
A) accrualbasis accounting
B) horizontal analysis
C) auditing
D) activitybased costing

Question

Using comparative statements to identify changes in key account values over time is called _____.
A) accrual­basis accounting
B) horizontal analysis
C) auditing
D) activity­based costing

Quizplus · Accepted Answer

Horizontal analysis, also known as trend analysis, involves comparing financial statement line items over multiple periods to identify changes or trends. This involves using comparative statements to identify changes in key account values over time, making it the correct choice. Accrual-basis accounting, auditing, and activity-based costing are accounting concepts that are not directly related to identifying changes in key account values over time.

Using Comparative Statements to Identify Changes in Key Account Values