Retinal detachment occurs when the light-sensing layer inside your eye, the retina, detaches from the underlying pigmented tissue layer that provides it oxygen and nutrients. Retinal detachment can happen spontaneously with no obvious or underlying cause.
Thus, vertical analysis is nothing but the comparative analysis of an economic statement, in which all baseline items on an economic statement are shown as a fraction of a further item.
The horizontal and vertical analysis approaches are similar in that the dollar amounts reported are converted to percentages. However, the approaches differ in the base used to compute the percentages. Through this post, I will demonstrate how you can prepare horizontal and vertical analysis of a financial statement.