Financial Accounting Discussion Questions

 

DQ #1 — Horizontal and Vertical Analyses 

(No min word count, does not need to be in APA Format)

What are some examples of how horizontal and vertical analyses are used in the decision-making process (think of business managers and supervisors as well as investors, bankers and other interested outside parties)?

DQ #2 — Ratio Analysis

  • What are some common ratios used to analyze financial information? Which are the most important and why?
  • What are some examples of how ratios are used in the decision-making process (think of business managers and supervisors as well as investors, bankers and other interested outside parties)?
  • Find an article from the internet that is a report of a company’s financial ratios like P/E ratio and Earnings Per Share. List the source of the article and summarize (very briefly) what was said about the company based on the financial ratios.

Financial_Accounting_7e_Ch14.pdf

 
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