Horizontal Analysis Is Analysis in Which

question 107

Multiple Choice

Horizontal analysis is analysis in which

• A)financial statement lines are expressed as a percent of the base (earliest) year.
• B)all items are presented as a percentage of one selected item on the financial statement.
• C)a statistic is calculated for the relationship between two items on a single financial statement or for two items on different financial statements.
• D)ratio increases and decreases are presented for the past two accounting periods.

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Definitions:

Target Commitment

A state in which individuals or groups are wholly dedicated to achieving a specific goal.

Personal Appeal

Refers to the charismatic and attractive qualities of an individual that make them likable or persuasive to others.

Power Sources

The origins or bases from which an individual or organization draws the ability to influence others.

Position Power

denotes the authority and influence an individual holds in an organization due to their official role or position, rather than personal characteristics.