Accountancy- Financial Statements Analysis

Easy form ✘ Convenient and rational groups ✘ Comparable form ✘ All of the Above ✔

Horizontal Analysis ✘ Vertical Analysis ✘ Internal Analysis ✘ External Analysis ✔

Horizontal Analysis ✘ Vertical Analysis ✘ Internal Analysis ✘ External Analysis ✔

Cash Flow Statement ✘ Dividend Analysis ✘ Vertical Analysis ✘ Horizontal Analysis ✔

To know the financial strength ✘ To make a comparative study with other firms ✘ To know the efficiency of management ✘ All of the Above ✔

For Creditors ✘ For Managers ✘ For Employees ✘ For all of the above ✔

Ignores price level changes ✘ Measures the efficiency of business ✘ Lacks qualitative analysis ✘ Is effected by personal bias ✔

Personal Bias ✘ Price Level Changes ✘ Window Dressing ✘ All of the Above ✔

Investor ✘ Government ✘ Ambassador of India ✘ Company's Employee ✔

Affected by window dressing ✘ Difficulty in forecasting ✘ Do not reflect changes in price level ✘ All of the Above ✔