Horizontal analysis is a technique for evaluating a series of financial statement data over a period of time

a. that has been arranged from the lowest number to the highest number.

b. to determine which items are in error.

c. to determine the amount and/or percentage increase or decrease that has taken place.

d. that has been arranged from the highest number to the lowest number.

Question

Alessandra Noble

Business

7 October, 21:44

Horizontal analysis is a technique for evaluating a series of financial statement data over a period of time

a. that has been arranged from the lowest number to the highest number.

b. to determine which items are in error.

c. to determine the amount and/or percentage increase or decrease that has taken place.

d. that has been arranged from the highest number to the lowest number.

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Answers (1)

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Tess Stewart · Answer 1

Option C

Explanation:

In simple words, Horizontal analysis (also referred to as pattern analysis) is indeed a method for the study of financial records that indicates improvements in the sums of the related products over a span of time. This is a valuable tool for determining pattern circumstances. The reports are being used in horizontal analysis for two different time intervals and is compared on percentage basis.