The balance sheet provides a snapshot of the financial condition of the firm at a particular time. It shows the balance of assets, equities and liabilities at a single moment of time. 

Comparative Statement of profit and loss is the horizontal analysis of statement of profit and loss which shows the operating results for the compared accounting periods, changes in data in terms of absolute amount and percentage from one period to another.  Horizontal analysis is a trend analysis where the firm compares ratios, statements etc over a period of time. 

Comparative analysis is comparison of various ratios balances of different years. It is basically done to understand the trend off the company. Comparative statements is prepared to check increase or decrease as on different dates, balances of accounts as on different dates and summaries of different operational activities of different periods. 

True. Comparative analysis is comparison of various ratios balances of different years. It is basically done to understand the trend of the company. When the comparison is done between the firms its known as inter firm comparison. 

True. Comparative analysis is comparison of various ratios balances of different years of the same firm. When the comparison is done within the firm its known as intra-firm comparison. It is basically done to understand the trend of the company. 

True. Comparative Financial statements mean comparative study of items or components of financial statements of two or more years with that of the same or other company. It is comparison of various ratios, balances, statements of different years of the company. It is basically done to understand the trend off the company.

Comparative statement refers to the profit and loss account and balance sheet prepared by providing columns for the figures for both the current year as well as for the previous year. The following steps may be followed to prepare the comparative statements:

Comparative statements refers to the profit and loss account and balance sheet prepared by providing columns for the figures for both current year as well as for the previous year for the changes during the year. Comparative statements are prepared basically to understand the trend of the company. Hence, its also known as trend analysis. 

Observing changes in the financial variables across the years is done through horizontal analysis. Horizontal analysis is a trend analysis where the firm compares ratios, statements etc over a period of time. 

True. Common-size Income statement is the vertical analysis of Income Statement. A vertical analysis is shows all items as percentages and not in absolute figures which provides better comparison. Each line item is expressed as a percentage figure of the base figure within the statement. The base is always shown as 100. 

True. Common-size Income statement is the vertical analysis of Income Statement. A vertical analysis is shows all items as percentages and not in absolute figures which provides better comparison. Each line item is expressed as a percentage figure of the base figure within the statement. 

Objectives of common-size income statement are to analyse change in individual items of statement of profit and loss, to study the trend in different items of revenues and expenses and to assess the efficiency of the enterprise. 

True. To determine the trend of different items of statement is one of the objectives of common size statements. It measure the relationship of different items of financial statements with a common variable. 

Common size statement, also known as component percentage statement, is a financial tool for studying the key changes and trends in the financial position and operational result of a company. Common size balance sheet shows relative value of the various items. In common size income statement, the item of expenditure are shown as percentage of the net sales. 

Common size statement is a financial tool for studying the key changes and trends in the financial position and operational result of a company. common size analysis is also known as vertical analysis. Common size statements are useful, both, in inter-firm comparisons for the same year or for several years.

Common size statement is stated as a percentage of the aggregate, of which that item is a part i.e. common size balance sheet shows the percentage of each asset to the total assets, and that of each liability to the total liabilities. The common size statement is also known as component percentage statement, is a financial tool for studying the key changes and trends in financial position and operational result of a company.

Choosing a common base for example sales revenue total may ne taken as base (100) in case of income statement, and total assets or total liabilities in case of balance sheet, in step 2 in the procedure adopted for preparing common size income statements. Common-size Income statement is the vertical analysis of Income Statement. 

Common size financial statements make it easier to compare firms of different sizes as they show all items as percentages and not in absolute figures which provides better comparison. 

The most common approach for analyzing the capital structure of a firm is Comparative analysis. Comparative analysis is comparison of various ratios, balances, statements of different years of the company.