The following summarized balance sheet is a display of what kind of analysis? AmountPercentRevenue1,000,000100%Cost of goods sold550,00055%Gross Profit450,00045%Horizontal AnalysisMarginal analysisCommon Size AnalysisRatio Analysis

First option is wrong because in horizontal analysis, the items of financial statements are compared…

Answered: Common Size Analysis

Business

Accounting

Common Size Analysis

Managerial Accounting: The Cornerstone of Business Decision-Making

7th Edition

ISBN:9781337115773

Author:Maryanne M. Mowen, Don R. Hansen, Dan L. Heitger

Publisher:Maryanne M. Mowen, Don R. Hansen, Dan L. Heitger

Chapter15: Financial Statement Analysis

Section: Chapter Questions

Problem 1MCQ

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Question

The following summarized balance sheet is a display of what kind of analysis?

	Amount	Percent
Revenue	1,000,000	100%
Cost of goods sold	550,000	55%
Gross Profit	450,000	45%

Horizontal Analysis

Marginal analysis

Common Size Analysis

Ratio Analysis

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