Question

The methodical classification of financial statement is called ________. (Fill in the blank by choosing correct option)
1) an interpretation
2) an analysis
3) ratio
4) profit and loss a/c

Answer 1

2. An analysis. Hope this answer will help you

Answer 2

Answer:

 Methodical classification of financial statement is called an Analysis.

Explanation:

                          Classification of Financial statements

• Financial statements include both "The Analysis" and "The Interpretation" of the current situation of a business.
• The  methodical classification of the data given in the financial statements is termed as Analysis.

• "Analysis" is used to mean the simplification of given financial data.
• However, Interpretation means explaining meaning and the significance of the data.