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Can anyone help me out here? I’m pretty confused about whether to take gross sales or net sales as the basis of horizontal analysis? Also, should I include my competitor company as well in the horizontal analysis?
@roonster – definition of net – net of what exactly ? Certainly they should be net of VAT. Compare like with like and include the comparator. I would tend to include turnover (excluding VAT) and then discuss GP and net profit separately
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