Which of the Following Best Describes Horizontal Analysis

question 102

Multiple Choice

Which of the following best describes horizontal analysis?

• A)comparing financial statement amounts from year to year for the same company
• B)expressing each financial statement amount as a percentage of a budgeted amount
• C)comparing a company's financial statements with other companies
• D)calculating key ratios to evaluate performance

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Definitions:

Hofstede

A researcher known for his studies on how culture influences values in the workplace and in societies at large.

Rank-Order

A method of arranging data or participants based on their score or position relative to one another.

Individualistic

Emphasizing the moral worth of the individual and favoring freedom of action for individuals over collective or state control.

Hofstede

A Dutch social psychologist who developed a model identifying five dimensions of culture that help to understand differences in societies: power distance, individualism versus collectivism, masculinity versus femininity, uncertainty avoidance, and long-term versus short-term orientation.