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Vertical Analysis Checkpoint

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Vertical Analysis Checkpoint
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The three of financial statement analysis are horizontal analysis, vertical analysis, and ratio analysis. The function of all three analyses is to evaluate the significance of financial statements data. Horizontal analysis function is to evaluate and compare data given by the financial statement for at least two years with in its own company. Vertical analysis expresses the amounts of the financial statements as a percentage from the amounts given on the financial statements. Vertical analysis also makes it so that companies can compare how they are doing with competing companies. Ratio analysis is used to evaluate liquidity, profitability, and solvency.
PepsiCo. Calculations:
Ratio:
2005 Current
…show more content…
| | CheckPoint 25/points | Points Earned 21.5/25 | | Write in 100 to 200 words an explanation of the three tools of financial statement analysis and the function of each. | 5/5 points | | three tools of financial statement analysis | | 3 | The tone is appropriate to the content and assignment. Sentences are complete, clear, and concise. Sentences are well constructed, with consistently strong, varied sentences. Sentence transitions are present and maintain the flow of thought. Rules of grammar, usage, and punctuation are followed. Spelling is correct. | | 1 | The paper is 100 to 200 words in length. | | 1 | Feedback Concept seems to be learned. | Additional Comments: | | Calculate the following for PepsiCo, Inc. and show your work and Calculate the following for Coca-Cola and show your work: | 19/20 points | | Ratio analysis | | | Tool: Current ratio for 2005 | | | Pepsico | | 1 | Coca-Cola | | 1 | Tool: Current ratio for 2004 | | | Pepsico | | 1 | Coca-Cola | | 1

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