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BigorU [14]
3 years ago
15

Which of the following statements regarding horizontal analysis is not true? Multiple Choice a.Percentage analysis involves comp

uting the percentage relationship between two amounts. b.In horizontal percentage analysis, a financial statement line item is expressed as a percentage of the previous balance of the same item. c.A horizontal analysis of cost of goods sold on the income statement includes dividing net income by total revenue. d.Horizontal analysis attempts to eliminate the materiality problem of comparing firms of different sizes.
Business
1 answer:
dalvyx [7]3 years ago
4 0

Answer:

The answer is B In horizontal percentage analysis, a financial statement line item is expressed as a percentage of the previous balance of the same item.

Explanation:

Horizontal analysis of a balance sheet shows changes in individual assets, liability, and equity items over time.

Horizontal analysis of an income statement compares the amount of each item on a current income statement with the same item on an earlier income statement.

Horizontal analysis is used in financial statement analysis to compare historical data, such as ratios, or line items, over a number of accounting periods. Horizontal analysis can either use absolute comparisons or percentage comparisons, where the numbers in each succeeding period are expressed as a percentage of the amount in the baseline year, within the baseline amount being listed as 100%.

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Answer:

Rightward; demand

Explanation:

Suppose the equilibrium price of bottled water has risen from $1.00 per bottle to $2.00 per bottle and the equilibrium quantity has increased. These changes are a result of a ___Rightward___ shift of the ___demand__ curve for bottled water.

When demand and supply are at balance, it means that equilibrium has been attained.

A shift in the demand means consumers are willing to buy more irrespective of the price.

Equilibrium price and equilibrium quantity is said to increase when there is a rightward shift in demand curve.

In this case, since, the equilibrium price of bottle water increased from $1 to $2 and equilibrium quantity of bottle water increased, therefore it can be said that there's a rightward shift in the demand curve of bottle water. The price change was as a result of change in demand

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3 years ago
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Miranda is an executive for a company that manufactures dental tools. Her company prefers to measure progress by what percentage
kvv77 [185]

Answer: Market Share

Explanation:

Market Share is the the percentage of the total market that a business or a product controls.

For a company, it is the ratio of the company's total sales to the total sales of the industry it operates in. For example, if Miranda's company made a total sales of $10 million and the dental tool market is worth $100 million, Miranda's company controls 10% of the market and has 10% market share.

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3 years ago
Why are capital appreciation bonds (CABs) a controversial way for local governments to finance projects?
denis-greek [22]

Answer:

See explanation section

Explanation:

Municipal security from which an investor will receive a return on investment from an initial principal is called a capital appreciation bond. However, in this security, the return on investment will be reinvested further until the security matures at a specific rate. The primary purpose of the CABs is to permit the local authority to generate revenue. Due to the financing in the innovative project without increasing the tax is one of the controversial ways for local governments to finance projects. Another controversial way is to owe investors more than what they acquired.

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Arm & Hammer launches a campaign to extend the life of its baking soda products through improved packaging and new uses in p
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C) maturity

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The four stages of the product life cycle are:

  1. Introduction Stage
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  3. Maturity Stage: at this stage the product is already well established and its sales growth rate slows down. The highest sales level are achieved at this stage. This is also the stage at which the product faces the most competition, so the companies must modify and improve their products.
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Answer:

c.

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