Horizontal Analysis Is Analysis

question 185

Multiple Choice

Horizontal analysis is analysis

• A) of percentage changes over several years.
• B) in which all items are presented as a percentage of one selected item on a financial statement.
• C) in which a statistic is calculated for the relationship between two items on a single financial statement or for two items on different financial statements.
• D) of all ratios that increased or decreased over past accounting periods.

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Definitions:

Unilateral Mistake

A contractual misunderstanding that occurs when only one party is mistaken about a fundamental aspect of the contract.

Disclose Facts

The act of revealing or making known information that is true and relevant, often within a legal context.

Contract

A legally binding agreement between two or more parties that is enforceable by law.

Undue Influence

Persuasion that is less than actual force but more than advice and that induces a person to act according to the will or purposes of the dominating party.