Explain the difference between horizontal analysis and vertical analysis of a company's financial statements.
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Horizontal analysis means examining individual items from the financial statements over a period of time; it is also called trend analysis. For example, calculating the percentage change in sales over the past four years would be a form of horizontal analysis. Vertical analysis is conducted within the financial statements for a single period. For example, the amounts of cost of goods sold, gross margin, operating income, and net income for the current year might all be compared to the amount of sales revenue for that year.
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A. Approximately 80 percent of a retailer's inventory was sold, and 20 percent was wasted. B. 80 percent of the retailer's customers are repeat customers and only 20 percent are new. C. Approximately 20 percent of a retailer's sales come from 80 percent of its products. D. Approximately 80 percent of a retailer's sales come from 20 percent of its products. E. About 20 percent of a retailer's sales promotion sells 80 percent of its inventory.
Labor laws:
a. require job security after five years b. regulate the hours and rates of pay of various industries c. protect the rights of employees to join together for collective bargaining d. none of these
Warren has a portfolio with three stocks as shown in the table. What is the beta of Warren's portfolio?
Stock Required Return Portfolio Weight Beta Raymond's 6.75% 0.4 0.50 Keller Industries 11.43% 0.35 1.50 Huron Power 9.27% 0.25 1.05 A) 0.775 B) 0.988 C) 1.017 D) 1.340 E) 1.505
A default value is the value that a field will always assume, regardless of what the user enters for an instance of that field
Indicate whether the statement is true or false