BA4MA/BI4MA Module 2- FM

Also called as profit and loss account, which reflects the operational position of the firm during a particular period

• Financial Statement

• Statement of Financial Position

• Cash Flow Statement

• Income Statement

The main aim of this statement is to provide information and understand the financial aspects of the firm

• Financial Statement

• Statement of Financial Position

• Cash Flow Statement

• Income Statement

It helps to ascertain and understand the total assets, liabilities and capital of the firm

• Financial Statement

• Statement of Financial Position

• Cash Flow Statement

• Income Statement

This statement provides information about the changes or position of owner’s equity in the company.

• Statement of Changes in Equity

• Statement of Financial Position

• Cash Flow Statement

• Income Statement

It is also called as static analysis, because, this analysis helps to determine the relationship with various items appeared in the financial statement. For example, a sale is assumed as 100 and other items are converted into sales figures

• Internal analysis

• External analysis

• Vertical analysis

• Horizontal analysis

Under this analysis, financial statements are compared with several years and based on that, a firm may take decisions

• Internal analysis

• External analysis

• Vertical analysis

• Horizontal analysis

This analysis is used to understand the operational performances of each and every department and unit of the business concern

• Internal analysis

• External analysis

• Vertical analysis

• Horizontal analysis

This analysis mainly depends on the published financial statement of the concern. This analysis provides only limited information about the business concern

• Internal analysis

• External analysis

• Vertical analysis

• Horizontal analysis

These are the summary of the accounting process, which, provides useful information to both internal and external parties

• Financial analysis

• Financial statements

• Income statement

• Cash flow statement

Which of the following is considered a technique used in analyzing financial statements

• Ratio analysis

• Comparative statement

• Financial intermediaries

• Common size analysis

• Funds flow statement