COMPARATIVE ANALYSIS:

One of the important tasks that are performed by accountants is commonly known as comparative analysis. It can also be called benchmarking when you are trying to compare to companies that are best in class in certain areas.

Basically comparative analysis is:

1. Comparing actual financial data orratios at two different points in time.
2. Comparing financial data or ratiosbetween budget and actual.
3. Comparing financial data or ratiosbetween companies in the same industry.

YOUR TASK:

• Research a company that you want perform comparativeanalysis on.
• Find the income statement of this company from twodifferent periods. For example from 2014 and 2015.
• Calculate the comparative analysis on Sales, Cost ofSales, and Net Income.
• Comment on your results.