Distinguish between horizontal and vertical analysis of financial statement data

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Horizontal analysis: Is also called vertical analysis. Is the presentation of financial ratios. Is a tool used to evaluate financial statement items relative to industry statistics. Is a method used to evaluate changes in financial data across time. Evaluates financial data across industries.

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Answer:

Explanation:

Horizontal analysis is comparing financial statistics or data over a period of time. it is also known as trend analysis. 

Vertical analysis compares line items within the same period.

I hope my answer helps you


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