Vertical analysis calculates the amount and percentage change of an account over time.Horizontal analysis calculates the amount and percentage change of an account over time.

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Vertical analysis is a method of financial statement analysis in which each entry for each of the three major categories of accounts (assets, liabilities, and equities) in a balance sheet is represented as a proportion of the total account. Horizontal analysis, on the other hand, compares data horizontally, by analyzing the trends of historical data over several periods to identify increases, decreases, or other variations.

Vertical Analysis Calculates the Amount and Percentage Change of an Account