Excel Can Simplify Completing a Vertical Analysis of an Income

question 41

True/False

Excel can simplify completing a vertical analysis of an income statement because the formula to calculate percent of net sales can be entered once and then copied to all other applicable cells.

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Definitions:

Inelastic

Describes a situation where the demand or supply for a product does not change significantly when the price of the product changes.

Elasticity of Demand

A measure of how much the quantity demanded of a good responds to a change in the price of that good, expressed as a percentage.

Total Revenue

The total amount of money a firm receives from the sale of its goods or services before any expenses are subtracted.

Quantity Demanded

The total amount of a good or service consumers are willing to purchase at a specific price level at a given time.