1. Horizontal analysis of comparative financial statements includes the a. development of common size statements b. calculation of liquidity ratios c. calculation o f dollar amount and percentage changes from financial statements over a period of time, as compared to a base year evaluation of financial statement data that expresses each item in a financial statement as a percentage of a base amount. d. 2. Which of the following is true? a. A revenue expenditure and a capital expenditure is on the balance sheet b. A revenue expenditure and a capital expenditure is on the income statement c. A revenue expenditure is expensed and a capital expenditure is added to the cost of the asset d. A revenue expenditure is revenue and a capital expenditure is added to the cost of the asset. 3. If the market rate of interest is less than the contractual rate of interest, bonds will sell a. at a premium. b. at face value. c. at a discount. d. only after the stated rate of interest is increased 4. The number of shares of issued stock equals a. unissued shares minus outstanding shares. outstanding shares plus treasury shares. authorized shares minus treasury shares. d utstandino shares nlus authorized shares b. c