 In horizontal analysis, we check the changes taken place between two periods of time. We compare the changes in financial data from one period to another period. This change is checked in terms of absolute value and in terms of percentages, both. There is a prerequisite that the periods under consideration should be continuous periods. Like a change from period one to period four cannot be checked in horizontal analysis. It is better to check changes happened from period one to period two. On the screen, you can see the horizontal analysis for balance sheet items for four periods in terms of two separate periods. 2007 to 2008 and then 2008 to 2009. Let's see changes happened in fixed assets. You can see for 2007 to 2008, there is an increase in fixed assets by Rs 1.939 million. In terms of percentage, this increase in 92.67%. This means that with reference to the year of 2007 fixed assets of the company has increased by 92.65%. But for 2008 and 2009, we see that there is an increase by Rs 99,000 in fixed assets during the year 2009 as compared to the period 2008. In terms of percentage, we can see that during the period 2009 fixed assets had been decreased by 2.46%. In terms of total assets, we see that 2008 there is a decline by 12.24% in fixed assets in compared to the year 2007. But for 2009 fixed assets has been increased by 50% around over the period of 2008. Similar analysis can be seen for the equity section. In total, we can see that as compared to 2007, equity increased by 17% around in 2008. And this increase in terms of Rs 1.39 million. With reference to 2009, we see that for 2009, the increase in around 10% as compared to 2008. In terms of current liabilities, similarly, we can see that for 2008, there has been a decline by 49% in current liabilities over the period of one year. But for 2009, there is a massive increase in terms of percentage and that is 161.53%. So, you can see that how much amount has been increased by current liabilities. For profit and loss account, we can see that net sales over the period of 2007 to 2008, there is an increase by 6.05%. And in terms of absolute value, there is an increase of Rs 2.362 million. Similarly, you can see that from 2008 to 2009, there has been a decline by 8.59% in the sales. This trend we can also see in terms of operating profit for the year 2008 that there is a decline of 16.41%. And we can see the same trend in net profit after tax for the period 2008. That from 2007 to 2008 over the period of one year, profit after tax had been decreased by 0.454 million. And in terms of percentage, this is 16.57%. The trend continued for 2008 to 2009 and in 2009, there had been a decrease by 39.54% in the profit after tax. Similar trend can be checked for cash flow statement. On the screen, dear students, you can see the net cash flows from each section of the cash flow statement. In terms of operating activities, we can see that net cash flows from operating activities significantly decline. Similar analysis can be seen for each of the sections of cash flow statement. There are net cash flows from each activity. And we can see that for 2008, there had been a huge decline in net cash flows from operations by 128.72%. In terms of net increase or decrease in cash and cash equivalents for the period 2008, we see that there had been a decline by 473% over the period of one year. For the statement of changes in owner's equity, we can see that there had been no change from 2007 to 2008 and from 2008 to 2009. But for general reserve, there has been a good change by 36.42% in 2008. And in 2009, there is a positive change by 22.69% over these two accounting periods. The general reserves of the company increased from year one to year two. In terms of total equity, we can see that as compared to the year 2007, in 2008, the total owner's equity increased by 17.31%. And in terms of absolute value, we can see that this increase was 1.392 million. Similarly, with reference to 2009, we can see that as compared to the 2008 year, the total equity increased by 9.12% and in terms of absolute value, the increase in 0.86 million.