Practice Test

Q1) Common size statement is a tool of Show Answer

Q2) Common size statement is also known as Show Answer

Q3) In common size income statement the basis is Show Answer

Q4) In common size vertical Balance sheet the basis is Show Answer

Q5) Comparative statement is a tool of Show Answer

Q6) Comparative statement shows Show Answer

Q7) Increase / Decrease is a method of preparation of Show Answer

Q8) % Increase / Decrease is a method of preparation of Show Answer

Q9) Trend analysis is a technique of analysis of Show Answer

Q10) Performance over two years can be understood from Show Answer

Q11) Performance for the year can be analysed from Show Answer

Q12) Trend in performance is understood from Show Answer

Q13) Earliest year has to be considered as base year, the values of which are taken as 100 in Show Answer

Q14) For Inter firm Comparison, Show Answer

Q15) Inter firm comparison becomes misleading when two different firms follow: Show Answer

Q16) Common size statement cannot make a Show Answer

Q17) Common size statement cannot find out relationship between Show Answer

Q18) Trend shows Show Answer

Q19) Comparative statement is a part of ____analysis. Show Answer

Q20) Common size statement is a _______analysis. Show Answer

Q21) _____analysis show trend in performance Show Answer

Q22) Common size statement is also called as ___ % statement Show Answer

Q23) ______ methods of preparation of comparative Show Answer

Q24) In ____statement sales is considered equal to 100 Show Answer

Q25) In common size ______capital employed is considered equal to 100 Show Answer

Q26) In trend analysis earliest year is considered as ___ Show Answer

Q27) Analysis is a must for _____________ Show Answer

Q28) Comparative statement includes comparative income statement and balance sheet. Show Answer

Q29) Comparative Balance sheet shows Comparative financial status. Show Answer

Q30) Comparative income statement shows comparative performance of different years. Show Answer

Q31) Common size income statement show performance in terms of 100. Show Answer

Q32) In common size income statement capital employed is considered equal to 100. Show Answer

Q33) In common size Balance Sheet capital employed is considered equal to 100. Show Answer

Q34) Common size statement is a vertical analysis. Show Answer

Q35) Common size statement is a horizontal analysis. Show Answer

Q36) Trend analysis shows direction of changes. Show Answer

Q37) Trend Analysis shows the trend in financial performance of a organization. Show Answer

Q38) Analysis is a must for interpretation. Show Answer