Horizontal Analysis

question 162

Multiple Choice

Horizontal analysis

• A)Is a tool used to evaluate changes in financial data across time
• B)Is also called vertical analysis
• C)Is the presentation of financial ratios
• D)Is a tool used to evaluate financial statement items in terms of a specific base amount
• E)Is a tool used to evaluate changes in financial data across time and is the presentation of financial ratios

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Definitions:

Validity

The degree to which a tool, test, or study accurately measures what it is intended to measure or achieves what it intends to achieve.

Reliability

The degree to which an assessment tool produces stable and consistent results across different occasions.

Standardization

The process of making something conform to a standard in order to ensure consistency and comparability.

Intelligence Testing

the assessment of an individual's range of cognitive abilities, aptitudes, and intellectual potential through various standardized tests.