If the base-year amount is zero,we can't calculate a percentage change under horizontal analysis.

Name: If the base-year amount is zero,we can't calculate a percentage change under horizontal analysis.
Brand: Quizplus
Rating: 4.8 (55 reviews)

Question

Quizplus · Accepted Answer

Percentage change is calculated by dividing the difference between the current year amount and the base-year amount by the base-year amount and multiplying it by 100. If the base-year amount is zero, we can't divide by zero and therefore can't calculate a percentage change.

If the Base-Year Amount Is Zero,we Can't Calculate a Percentage