Given the following data: In a vertical analysis, cash would be expressed as:
A)830%.
B)1435%.
C)12%.
D)7%.

Question

Given the following data:  In a vertical analysis, cash would be expressed as:
A)830%. 
B)1435%. 
C)12%. 
D)7%.

Quizplus · Accepted Answer

Vertical analysis expresses each item as a percentage of a specific base, typically the total assets for balance sheet items or total revenues for income statement items. As cash is an asset, in this case, it would be expressed as a percentage of the total assets. Since we do not have the full set of financial statements and data, we cannot determine the exact percentage, but the answer options given suggest that cash as a percentage of total assets would be between 7% (option D) and 1435% (option B). Given that no asset could reasonably represent more than 100% of the total assets, and that option C, 12%, is within that range, it is the most reasonable and likely option.

Given the Following Data: in a Vertical Analysis, Cash