-Which of the following would result from a vertical analysis of Robbins Corporation's balance sheet?
A) Accounts receivable increased $10,000 or 40.0% during 2017.
B) Inventories decreased $1,000 or 4.17% during 2017.
C) Cost of goods sold increased $40,000 or 19.05% during 2017.
D) Inventories are 5.11% of total assets for 2017

Question

-Which of the following would result from a vertical analysis of Robbins Corporation's balance sheet?
A) Accounts receivable increased $10,000 or 40.0% during 2017. 
B) Inventories decreased $1,000 or 4.17% during 2017. 
C) Cost of goods sold increased $40,000 or 19.05% during 2017. 
D) Inventories are 5.11% of total assets for 2017

Quizplus · Accepted Answer

Inventories are 5.11% of total assets ($23,000 / $450,000). The remaining responses are examples of horizontal analysis.

-Which of the Following Would Result from a Vertical Analysis