Which of the following statements are correct regarding Financial Statement Analysis?
- Ratio analysis helps in assessing the liquidity, profitability, and solvency of a company.
- Trend analysis involves comparing financial data over multiple periods to identify patterns.
- Common size analysis compares financial statements of different companies by converting data to a percentage of a common base.
1
Only 1
2
Only 2
3
1 and 2
4
2 and 3
5
1, 2, and 3