The following is a summary of information presented on the financial statements of The Cake Company on December 31, 2014. What would horizontal analysis report with respect to net sales revenue?

Question

The following is a summary of information presented on the financial statements of The Cake Company on December 31, 2014.  What would horizontal analysis report with respect to net sales revenue?

Quizplus · Accepted Answer

The question asks about what horizontal analysis would report with respect to net sales revenue. Horizontal analysis compares financial data from different periods to determine the percentage change. Without any specific numbers given, it is impossible to determine the exact percentage change in net sales revenue. However, answer choice A states that there is a 5% increase in net sales revenue, which would be a possible result of horizontal analysis. Answer choices B, C, and D are unrelated to the question and therefore incorrect.

The Following Is a Summary of Information Presented on the Financial