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Financial Statement Analysis | Accountancy - Trend analysis | 12th Accountancy : Chapter 8 : Financial Statement Analysis

Chapter: 12th Accountancy : Chapter 8 : Financial Statement Analysis

Trend analysis

The following steps can be followed to compute trend percentages:

Trend analysis

The following steps can be followed to compute trend percentages:

(i) Take the earliest year as the base year.

(ii) Take the figures for the base year as 100.

(iii) Express the figures for the other years as a percentage to the base year and determine the trend.

 

Illustration 12

Calculate trend percentages for the following particulars of Kurinji Ltd.


Solution


Note: Computation of trend percentage for revenue from operations:


 

Illustration 13

From the following information, calculate trend percentages for Mullai Ltd.


Solution


 

Illustration 14

From the following particulars of Neithal Ltd, calculate trend percentages.


Solution


 

Illustration 15

Calculate trend percentages for the following particulars of Palai Ltd.


Solution


 

Illustration 16

Compute trend percentages for the following particulars of Boomi Ltd.


Solution

Trend analysis for Boomi Ltd


 

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