Practicing Success
Practicing Success
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| Which of the following brings out the difference between vertical analysis and horizontal analysis? |
Horizontal Analysis is time series analysis whereas Vertical Analysis is done to review and analyse the financial statements of one particular year only. Vertical Analysis is time series analysis whereas Horizontal Analysis is done to review and analyse the financial statements of one particular year only. Horizontal Analysis is static analysis whereas Vertical Analysis is dynamic analysis. None of the above |
| Horizontal Analysis is time series analysis whereas Vertical Analysis is done to review and analyse the financial statements of one particular year only. |
| Horizontal Analysis, the company’s financial statements are made to review for several years, and it is also called a long-term analysis. It is useful for long-term planning and compares figures of two or more years. |
