December 2021

For instance, a common-size income statement would show what percentage of revenue is allocated to various expenses, providing insights into cost structures. By looking at the numbers provided by a company, you should see whether there are any large differences between one year and the next. It is also possible to perform this analysis with…

When combined, these insights provide a comprehensive view of a company’s financial health and potential for future success. Horizontal analysis of the cash flow statement helps you see how cash is being managed year over year. These metrics reveal consistent growth and profitability, which are key insights for investors evaluating Apple’s performance over time. Having…