This is a financial statement that shows a financial statement of two or more consecutive periods or two, or more related firms in the same industry. Comparative statements can be drawn for balance sheet, income statement, and statement of changes in equity as well as cash flow statement. Below is an illustration of a simple comparative income statement for Weller Corporation. Copy the link given below and paste it in new browser window to get more information on Comparative Income Statement and Balance Sheet:- http://www.transtutors.com/homework-help/accounting/comparative-income-statement-and-balance-sheet.aspx

1. COMPARATIVE FINANCIAL
STATEMENTS

2. What is a Comparative Financial
Statements?
• This is a financial statement that shows: the financial statements of
– 2 or more consecutive periods; or
– 2 or more related firms in the same industry

3. Comparative Income Statement
This is a statement of income for two consecutive periods in terms of
the operating incomes and other incomes and expenses.

4. Comparative Balance sheet
It is a statement that shows the assets, liabilities and capital of a firm as at a given
date

5. What is Horizontal analysis?
• The amount of each item on the most recent statement is
compared with the related item of one or more previous period(s)
• The amount of decrease or increase in the item is listed together
with the percent of increase or decrease

6. Horizontal Analysis of Comparative
income statement

7. What is Vertical Analysis?
• Shows the relationship of each component to the total (sales or
equity) within a single statement.

8. What is a Common-size
Statement?
• Statement items are expressed only in percentages.

9. Hey Friends,
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Statement and Balance Sheet. For more detailed
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