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Vertical Analysis
An approach to financial statement examination whereby each component is presented relative to a foundational number in the report.
Balance Sheet
An accounting summary that captures a company's financial holdings, debts, and stockholders' equity at a given time.
Income Statement
A financial statement that shows a company's revenues, expenses, and profit over a specific period of time.
Vertical Analysis
A method of financial statement analysis in which each entry for each of the three major categories of accounts (asset, liabilities, and equity) in a balance sheet is represented as a proportion of the total account.
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