In performing vertical analysis,the base for operating expenses is:
A)net sales.
B)gross profit.
C)net income.
D)operating income.

Question

Quizplus · Accepted Answer

In performing vertical analysis, the base for operating expenses is typically net sales. This allows for the analysis of how much of the net sales revenue is being utilized for operating expenses, giving insight into the efficiency of the company's operations.

In Performing Vertical Analysis,the Base for Operating Expenses Is