Chapter 17.1 Do In Class 1. How are financial statements used to analyze a business? a) Name the three main ways to analyze financial statements: i) b) An provides information about a company's financial condition Another part of the annual report is operations and the financial condition of the company What is the difference between unqualified opinions and qualified opinions? c) which is intended to help investors understand the results of the d) 2. How do we use horizontal analysis to analyze a business? a) What is the purpose of the horizontal analysis? What is the amount and percentage of Gross profit is $100,000 for 2019 and $120,000 for 2020. increase or decrease in gross profit? b) 3. How do we use vertical analysis to analyze a business? a) What is the purpose of the vertical analysis? b) Net Sales Revenue is $100,000 and gross profi is $40,000 for 2020. What is the percentage of gross profit to net sales revenue? c) A common-size statement reports only the same percentages that appear in d) In your own words, what is benchmarking