Horizontal Analysis Is Performed When

question 16

Multiple Choice

Horizontal analysis is performed when:

• A) Total assets are set at 100% and all other balances are a percentage of total assets
• B) The percentage change in the balance sheet and income statement numbers is computed for one period to the next
• C) Calculating and comparing key ratios from period to period
• D) Comparing account balances in the statements from one period to the next

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Definitions:

Manipulating Appraisals

Involves altering the way a situation is perceived in order to manage emotional responses to that situation.

Social Comparison

The process by which individuals evaluate their own abilities and opinions by comparing themselves to others.

Symbol System

A set of symbols and rules for combining them, which might be used for communication, such as language, or representation of data and processes.

Others' Eyes

A perspective or viewpoint that considers how an individual is viewed or judged by other people.