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In question 1, vertical ...
In question 1, vertical analysis are used to conclude whether net income as a percent of sales increase, decrease, or remain unchanged over a 3-year period? Numerical support is Provided.
In question 2, Horizontal analysis (trend analysis) are used to explain whether net income increased, decreased, or remained unchanged over a 3-year period.
Horizontal Analysis vs. Vertical Analysis
Your friend comments, "Horizontal analysis is better than vertical analysis because you can actually see if things are improving between the years." Do you agree with this statement? Explain why or why not.
If you were an investor who was considering a potential company in which to buy stock, what three ratios would be your top choices to review? Provide an explanation for your response.View Full Posting Details