A technique for evaluating a series of financial statement data over a period of time is called ________ analysis.
A)horizontal
B)vertical
C)financial statement
D)over-time

Question

Quizplus · Accepted Answer

Horizontal analysis involves comparing financial statement data from one time period to another in a side-by-side format, typically using percentages or dollar amounts. Vertical analysis involves calculating each item on a financial statement as a percentage of a base amount, such as total assets or total revenue. Financial statement analysis is a broader term that refers to the process of evaluating a company's financial information to make informed decisions. "Over-time" is not a commonly used term in financial statement analysis.

A Technique for Evaluating a Series of Financial Statement Data