Question: In this particular case, I would use a horizontal analysis. Between the two option, a horizontal analysis can best demonstrate data over a period a

In this particular case, I would use a horizontal analysis. Between the two option, a horizontal analysis can best demonstrate data over a period a time compared to a vertical analysis that would place it in a percentage format, giving only limited insight on the patterns from pervious years/periods to best compare what is different from a similar period. A horizontal analysis can assist in determining increases and decreases on a financial statement, allowing for comparing the same periods at different times, showing if there has ever been such a pattern of events. Considering the drop that has been made, as an analyst, I would be concern as to why there was such a big drop in such a short amount of time, and if it can be slowed down or stopped

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