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1. Financial statement analysis: A. Is application of analytical tools to general-purpose financial statements and associated data for making business decisions.B. Involves transforming accounting data into helpful information for decision-making.C. Helps users to take better decisions.D. Helps to reduce uncertainty in decision-making.E. All of these.
2. The building blocks of financial statement analysis include: A. Liquidity and efficiency.B. Profitability.C. Solvency. D. Market prospects.E. All of these.
3. Standards for comparisons in financial statement analysis add: A. Intracompany standards.B. Industry standards.C. Competitors' standards. D. Guidelines (rules of thumb).E. All of these.
4. Horizontal analysis: A. Is a method used to determine changes in financial data across time.B. Is also called vertical analysis.C. Is a tool used to evaluate financial statement items relative to industry statistics.D. Is the presentation of financial ratios. E. Determine financial data across industries..
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The founders of Samanta Shoes utilize variable costing in their business decisions. If Samanta Shoes utilizing absorption costing, would you see the company's income to be more than, less than or about the similar as its income measured under vari..
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