Contrast the circumstances where horizontal analysis would be an effective analysis tool with those where common-sized analysis would be more useful


Horizontal analysis reveals meaningful information about changes in a particular line item on a financial statement. It compares an account or account group balance to some past balance. As an example, if a company's salaries expense is 8 percent higher this year than last year, it can be compared to an industry average. Horizontal analysis can also determine if a significant increase in advertising expense has created a significant increase in sales.

Common-sized, or vertical, analysis reveals the proportional size of accounts or account groups when compared to the same account. For example, every line item on an income statement can be expressed as a percentage of net sales. This informs the analyst how each dollar of revenue is allocated through operations. Calculations such as this are often presented in the form of a pie chart, with each piece representing portions of some common whole.

Business

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Donna wants to buy a new coat. During the ________ stage of the buyer decision process she will ask her friends to recommend stores that sell good quality winterwear clothing

She will also go through newspapers and magazines to look out for offers and sales on coats. A) product evaluation B) alternative evaluation C) need recognition D) information search E) purchase decision

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Discuss and exemplify how the words we choose can influence how our audience connects with us.

What will be an ideal response?

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Which statement BEST completes this sentence, “Conflict begins when ______.”

A. a person offends another person B. the parties express their thoughts and feeling to each other through their behaviors C. one party intentionally makes insults to get the other parties attention D. none of these

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The effectiveness of advertising is best measured by relying on the judgment of creative people and advertising experts.

Answer the following statement true (T) or false (F)

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