Explore BrainMass

Explore BrainMass

    Common sizing horizontal vertical analysis: questions

    This content was COPIED from BrainMass.com - View the original, and get the already-completed solution here!

    QUESTIONS

    ____Which of the categories shows the largest percentage increase from the base period to 2011?
    ____Which of the categories shows the smallest percentage increase from the base period to 2011?
    ____What overall assessment can be made from the trend analysis regarding Gleason Company?
    ____If the current trend continues Gleason Company is likely to incur a ______ for 2012.

    CHOICES
    A. Cost of Goods Sold
    B. Net Income
    C. The rate of increase in expenses is greater than the rate of increase in revenues.
    D. Operating Expenses
    E. The rate of increase in revenues is greater than the rate of increase in expenses.
    F. Net Loss

    © BrainMass Inc. brainmass.com June 4, 2020, 2:52 am ad1c9bdddf
    https://brainmass.com/business/accounting/common-sizing-horizontal-vertical-analysis-questions-485373

    Solution Preview

    QUESTIONS

    __A__Which of the categories shows the largest percentage increase from the base period to 2011?
    __B__Which of the categories shows the smallest percentage increase from the base period to 2011?
    __C__What overall assessment can ...

    Solution Summary

    The response show from the horizontal analysis, COGS and OPERATING EXP are growing faster than revenues.

    $2.19

    ADVERTISEMENT