In horizontal analysis the percent change is computed by:
A) Subtracting the analysis period amount from the base period amount.
B) Subtracting the base period amount from the analysis period amount.
C) Subtracting the analysis period amount from the base period amount, dividing the result by the base period amount, then multiplying that amount by 100.
D) Subtracting the base period amount from the analysis period amount, dividing the result by the base period amount, then multiplying that amount by 100.
E) Subtracting the base period amount from the analysis amount, then dividing the result by the analysis period amount.

Question

Quizplus · Accepted Answer

In horizontal analysis, the percent change is computed by taking the difference between the analysis period amount and the base period amount, dividing that difference by the base period amount, and then multiplying by 100 to get the percentage change. Therefore, option D is the correct answer.

In Horizontal Analysis the Percent Change Is Computed By