BUSINESS HIGH SCHOOL-ACCOUNTING II

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BUSINESS HIGH SCHOOL-ACCOUNTING II Analyzing and Interpreting Financial Statements Chapter 12 Comparative Income Statement Horizontal Analysis Base Year Vertical Analysis Comparative Balance Sheet Working Capital Ratio Analysis Financial Strength Ratios Liquidity Ratios Profitability Ratios Accounting II Essential Learning Expectations-Chapter 12: Three techniques used to analyze and interpret financial statements are horizontal analysis, vertical analysis, and ratio analysis. Working capital represents the excess current assets available to continue operations, purchase inventory, obtain credit, or expand operations. Content Vocabulary: Base Year Comparability Profitability

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