In a vertical analysis of the income statement,each line item is shown as a percentage of profit.

Name: In a vertical analysis of the income statement,each line item is shown as a percentage of profit.
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In a vertical analysis of the income statement, each line item is shown as a percentage of revenue or sales, not profit. The purpose of a vertical analysis is to analyze the proportion of each expense or revenue item in relation to the total revenue or sales.

In a Vertical Analysis of the Income Statement,each Line Item