To analyze the firm's financial performance, the following types of ratio analyses EXCEPT ________ may be used.
A) time-series analysis
B) cross-section analysis
C) combined analysis
D) marginal analysis

Question

Quizplus · Accepted Answer

Time-series analysis, cross-section analysis, and combined analysis are all types of ratio analysis that can be used to analyze a firm's financial performance. Marginal analysis, however, is not a type of ratio analysis. Marginal analysis is a decision-making tool used to analyze the incremental costs and benefits of a specific decision. It is not specifically focused on a firm's financial performance.

To Analyze the Firm's Financial Performance, the Following Types of Ratio