Final answer:
Comparative income statements are indeed meant to report financial results over multiple periods. It's a common tool used for financial analysis to reveal trends over time and to compare one year's performance to another.
Step-by-step explanation:
The statement that an income statement in comparative format means that more than one year's results are reported is true. A comparative income statement displays income, expenses, and net income for multiple periods side by side, facilitating an easy comparison. This format helps stakeholders to identify trends over time and assess the financial performance of the company more effectively.
For instance, a comparative income statement may show results for the recent fiscal year alongside the previous year's results, allowing observers to spot increases or decreases in revenues, costs, and overall profitability. When there are more than two choices for periods being compared, this format can be particularly useful to see the evolution of financial results and to perform a more in-depth analysis.