Vertical Analysis and Horizontal Analysis Still feeling uncertain of the abilities of his new employees, Ned decided to give Larry and
Susan, accountants from his recent acquisition who had come up with different answers to Ned’s
accounting question, an additional task. Ned asked them to perform a vertical analysis on a
recent branch balance sheet.
Based on the vertical analysis of a balance sheet shown here, the balance of total assets is
(A) $__________. HINT
Think about financial statement analysis. How do you calculate the total using a vertical analysis
on a balance sheet?