The Percentage Analysis of Increases and Decreases in Individual Items

question 46

Multiple Choice

The percentage analysis of increases and decreases in individual items in comparative financial statements is called

• A) vertical analysis
• B) solvency analysis
• C) profitability analysis
• D) horizontal analysis

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Definitions:

Faults Present

Indicates that there are errors, malfunctions, or abnormalities currently detected within a system or component.

Scaling

The process of adjusting or changing the size, range, or proportions of data or an image to fit or correspond to a desired system or format.

Notation

A system of symbols or codes used in a specific context, such as programming or mathematical expressions, to represent information.

Future Profits

Expected earnings or gains from investments or business activities, projected into upcoming periods.