| SR.NO | Dynamic analysis | Static analysis |
| 1. | It requires financial statements of 2 or more years. | It requires financial statements of one year. |
| 2. | It gives information in absolute as well as percentage form. | It gives information in percentage form only. |
| 3. | It deals with same item of different years. | Ti deals with different items of the same year. |
| 4. | It is used for times series analysis. | It is used for cross section analysis. |
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