How is the percentage change (for horizontal analysis)for sales from 2018 to 2019 computed?
A)Year 2019 sales ÷ Year 2018 sales
B)(Year 2019 sales - Year 2018 sales)÷ Year 2018 sales
C)(Year 2019 sales - Year 2018 sales)÷ Year 2019 sales
D)(Year 2019 sales ÷ Year 2018 sales)× 100

Question

Quizplus · Accepted Answer

The percentage change is calculated by subtracting the old value (Year 2018 sales) from the new value (Year 2019 sales), then dividing the result by the old value (Year 2018 sales), and finally multiplying by 100 to get the percentage. This formula accurately reflects the increase or decrease in sales from 2018 to 2019 as a percentage of the sales in 2018.

How Is the Percentage Change (For Horizontal Analysis)for Sales from 2018