Practice - Types of Financial Statement Analysis
Enroll to start learning
You’ve not yet enrolled in this course. Please enroll for free to listen to audio lessons, classroom podcasts and take practice test.
Practice Questions
Test your understanding with targeted questions
What is vertical analysis?
💡 Hint: Think about how bases help us compare components.
Define horizontal analysis.
💡 Hint: Focus on the timeline when considering financial data.
4 more questions available
Interactive Quizzes
Quick quizzes to reinforce your learning
What does vertical analysis allow analysts to evaluate?
💡 Hint: Remember how components relate to the whole.
True or False: Horizontal analysis utilizes only current financial statements.
💡 Hint: Think about how trends are evaluated over time.
2 more questions available
Challenge Problems
Push your limits with advanced challenges
Analyze the following financial data for the last three years: Year 1 Sales: ₹100,000, Year 2 Sales: ₹120,000, Year 3 Sales: ₹150,000. What trend do you see? How would you present this in a report?
💡 Hint: Identify the growth rates and express them clearly.
A company reports a current ratio of 1.5 and a quick ratio of 1.2. What can you conclude about the company’s liquidity? How does this affect their short-term financial health?
💡 Hint: Consider how liquidity ratios reflect the company’s ability to pay short-term liabilities.
Get performance evaluation
Reference links
Supplementary resources to enhance your learning experience.