Comparing each item on a financial statement with a total amount from the same statement is referred to as

Business

1 answer:

Arada [10]2 years ago

8 0

Answer: vertical analysis

Explanation:

Vertical analysis is when each item on a financial statement is compared with a total amount from the same statement.

Vertical analysis refers to a financial statement analysis method whereby each line item in a statement is listed as a percentage of the base figure. In such case, each amount in the income statement will then be restated as a percentage of sales.

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Answer:

Suppose the economy is initially in equilibrium, when a decrease in Savings decreases total leakages out of the economy.

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