Time-series analysis evaluates the performance of various firms at the same point in time using financial ratios.

Question

Quizplus · Accepted Answer

Time-series analysis involves evaluating the performance of a single firm over time using financial ratios. It does not compare the performance of multiple firms at the same point in time. Instead, cross-sectional analysis is used for comparing multiple firms at the same point in time using financial ratios.

Time-Series Analysis Evaluates the Performance of Various Firms at the Same