What is Horizontal & Vertical analysis?

Q.  Which of the following statements are false?

A) When all the figures in a balance sheet are stated as percentage of the total, it is termed as horizontal analysis.
B) When financial statements of several years are analyzed, it is termed as vertical analysis.
C) Vertical Analysis is also termed as dynamic analysis.

- Published on 09 Sep 15

a. Both A and B
b. Both A and C
c. Both B and C
d. A, B, C

ANSWER: Both A and C

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