Question

Harold, a financial accountant in a company, is asked to identify the changes in the company's account values between 2014 and 2016. To get the required information, he uses comparative financial statements, which state the figures for the two years side by side. These comparative financial statements make it easier for Harold to identify the changes that may have taken place during that period. In this scenario, Harold is most likely using _____ to get the required information.

Answer 1

Horizontal analysis

Step-by-step explanation:

Horizontal analysis -

It is also called the trends analysis , it is the financial statement analysis method , which shows the change in amounts of the financial statement items over a period of time .

The method is used to analyse the trends and situations .

Hence , from the data of the question , It referees to Horizontal analysis .