The Following Is an Example Of A)Vertical Analysis

question 121

Multiple Choice

The following is an example of: $$\begin{array} { | l | r | r | } \hline & \text { Amount } & \% \\\hline \text { Cash } & \$ 300,000 & 6.0 \\\hline \text { Accounts receivable } & 500,000 & 10.0 \\\hline \text { Inventory } & 800,000 & 16.0 \\\hline \text { Long-term assets } & \underline {3,400,000} & \underline { 68.0 } \\\hline \text { Total assets } & \$ 5,000,000 & 100.0 \\\hline\end{array}$$

• A)Vertical analysis.
• B)Horizontal analysis.
• C)Diagonal analysis.

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Definitions:

Deposits Concentrated

Deposits concentrated indicates a banking scenario where a large proportion of deposits is held by a small number of account holders.

Thrift Institutions

Savings banks and credit unions; depository institutions that historically lent money to households.

Money Market Mutual Funds

Investment funds that invest in short-term, high-quality debt securities and aim to offer returns with minimal risk, providing investors with liquidity and a modest income.

Difficulties

Challenges or obstacles that may impede progress, require problem-solving, or necessitate adaptation.