Which of the following involves examining percentage changes in account balances from period to period?
A) Horizontal analysis
B) Vertical analysis
C) Statement mapping
D) Variance analysis

Question

Quizplus · Accepted Answer

Horizontal analysis involves examining percentage changes in account balances from period to period, while vertical analysis involves expressing each item in a financial statement as a percentage of a base amount. Statement mapping and variance analysis are not related to percentage changes in account balances.

Which of the Following Involves Examining Percentage Changes in Account