Bloom's Garden Center Company
Selected data from the financial statements of Bloom's Garden Center are provided below.

- Refer to the selected data provided for Bloom's Garden Center Company. Which of the following would result from a horizontal analysis of Bloom's cash and cash equivalents?
A) Cash and cash equivalents increased by $13,000 or 20.97% during 2012.
B) Cash and cash equivalents increased by $13,000 or 30.79% during 2012.
C) Cash and cash equivalents are 11.03% of total assets in 2012.
D) The free cash flow is $653,800 in 2012.

Question

Bloom's Garden Center Company 
Selected data from the financial statements of Bloom's Garden Center are provided below.

- Refer to the selected data provided for Bloom's Garden Center Company. Which of the following would result from a horizontal analysis of Bloom's cash and cash equivalents?
A) Cash and cash equivalents increased by $13,000 or 20.97% during 2012. 
B) Cash and cash equivalents increased by $13,000 or 30.79% during 2012. 
C) Cash and cash equivalents are 11.03% of total assets in 2012. 
D) The free cash flow is $653,800 in 2012.

Quizplus · Accepted Answer

Horizontal analysis involves comparing financial data over a period of time. Option A correctly describes the increase in cash and cash equivalents by $13,000 or 20.97% during 2012.