To Compute Trend Percentages the Analyst Should

question 182

Multiple Choice

To compute trend percentages the analyst should:

• A)Select a base period,assign each item in the base period statement a weight of 100%,and then express financial numbers from other periods as a percent of their base period number.
• B)Subtract the analysis period number from the base period number.
• C)Subtract the base period amount from the analysis period amount,divide the result by the analysis period amount,then multiply that amount by 100.
• D)Compare amounts across industries using Dun and Bradstreet.
• E)Compare amounts to a competitor.

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Definitions:

Risk Taking

Risk taking involves engaging in actions that expose one to the chance of loss or failure, often with the hope of achieving some benefit or gain.

Locus of Control

A psychological concept referring to the degree to which individuals believe that they have control over the events that affect their lives.

Assertiveness

The quality of being self-assured and confidently expressing one's rights or opinions without aggression.

Cooperativeness

A willingness to work together towards common goals or interests, often leading to mutually beneficial outcomes.