Question

In: Accounting

In performing a vertical analysis for a service company, the base for salaries expense is total...

In performing a vertical analysis for a service company, the base for salaries expense is

total selling expenses.

total expenses.

total revenues.

revenues.

Solutions

Expert Solution

The correct answer is

Total revenues

Explanation

In vertical analysis every item is expressed as percentage of total revenue. So selling expense will also be expressed as percentage of total revenue.

ekkarill92 answered 1 year ago
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