Vertical analysis is a technique that expresses each item in a financial statement
A)in dollars and cents.
B)as a percentage of the item in the previous year.
C)as a percentage of a base amount.
D)starting with the highest value down to the lowest value.

Question

Quizplus · Accepted Answer

Vertical analysis is a method where each item on a financial statement is listed as a percentage of a base amount, making it easier to compare and analyze financial statements over time or across companies.

Vertical Analysis Is a Technique That Expresses Each Item in a Financial