Horizontal Analysis Of An Income Statement Example

Horizontal analysis of income statement and balance stratosphere a three year horizontal analysis of the income statement and balance sheet of your selected company.

Horizontal analysis of an income statement example. Comparative retained earnings statement with horizontal analysis. For the year 2018 to illustrate the preparation of horizontal analysis of the financial statement. Horizontal analysis formula example 2. Let us take the annual report of apple inc.

Likewise we can do the same for all the other entries in the income statement. Here we have the yoy growth rates of colgate s income statement from 2008 until 2015. To get a clear picture of the performance of our business we need to do a horizontal analysis of each item in our income statement. Get your custom essay on.

All items on the balance sheet and income statement for the year 2008 have been compared with the items of balance sheet and income statement for the year 2007. A complete horizontal analysis of income statement might tell us that while our. Don t use plagiarized sources. We calculate the growth rate of each of the line items with respect to the previous year.

Horizontal analysis of an income statement. Horizontal analysis of income statement. Let us now look at the horizontal analysis of colgate. In above analysis 2007 is the base year and 2008 is the comparison year.