Question
The company is Amazon. Thanks! The purpose of this assignment is to prepare a vertical and horizontal common-size analysis. Financial statement analysis requires the analyst
The company is Amazon. Thanks!
The purpose of this assignment is to prepare a vertical and horizontal common-size analysis. Financial statement analysis requires the analyst to utilize calculation tools, such as horizontal, vertical, and ratio analysis. Interpretation of the ratio analysis allows the analyzer to observe changes in revenue over time. For your assignment, locate and review the last 3 years of the annual report of the company selected for your Financial Statement Analysis Report.
1. Complete the horizontal analysis column of the prior 3
2. Complete the vertical analysis column for the prior 3
Address the following questions in the comments section of both the Balance Sheet and Income Statement tabs:
1. What accounts changed for the period and how did this affect the financial analysis calculation?
2. Why did the account change during the period? Explain what business decisions may have caused the change.
3. How does this change influence the company's performance?
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