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QUESTION

Three Approaches to Financial Analysis

For this assignment, please answer the following questions using complete sentences. Be sure to answer all parts of the questions completely.

  1. What is vertical analysis? Why would it be useful to use in financial analysis?
  2. What is horizontal analysis? Why would it be useful to use in financial analysis?
  3. Why are ratios used in financial analysis?
  4. How are these three approaches to financial analysis different? Why can't you rely on a single method?

Submit your completed assignment by following the directions linked below. Please check the Course Calendar for specific due dates.

Save your assignment as a Microsoft Word document. (Mac users, please remember to append the ".docx" extension to the filename.) The name of the file should be your first initial and last name, followed by an underscore and the name of the assignment, and an underscore and the date. An example is shown below:

Jstudent_exampleproblem_101504

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