 In vertical analysis, we go vertical, we work in a column format. In this type of analysis, we express each item as a percentage of a significant total, like we try to develop a relationship between current assets and total assets. In these types of analysis, we develop a statement that is called a common size statement. In fact, we set the total value of the statement equal to 100 and we express the relationship of each item in the statement with the total of 100. In this way, we get a standardized format. In this type of standardized statement, we call it as a common size statement. On the screen, you can see a classified assets site of balance sheet. In 2009, we see that in 2009, the total assets of non-current assets were equal to 19.19% and the current assets were equal to 81.81%. We can say that in 2009, out of the total assets, the current assets were 80% and the current assets were 19% and the current assets were 20%. In this way, we can see the analysis in 2008 and 2007. If we talk about equity and non-current liabilities, we see that in 2009, the total honor equity was equal to the total liabilities of 2009. To get this figure, we divided the total value of the honor equity of 2009 and multiplied it by 100. If we talk about the current liabilities, then in 2009, the total liabilities were equal to 47.79%. If we look at the profit and loss account, we can see that net sales have been fixed at 100. This means that every other variable has been derived from net sales. Like if we look at 2009, we can see that cost of sale was 93.86% of the net sales in 2009. This left a gross profit of 6.14% of sales. Similarly, if we look at operating profit, this is 3.97% of sales. Going to the bottom, we can see that after-tax profit in 2009 was 3.66% of sales during the same year. Similarly, with reference to the statement of cash flows, we can check the relationship of net cash flows from individual activity section with the overall change in cash and cash equivalent during that particular period. In 2009, we see that operating cash flows were equal to 121% of total cash flows in 2009. Similarly, we can compare the net cash flows of each activity with the total cash flows of that year. If we talk about statement of changes in honors equity, then we have set total equity at 100% value. And all the individual items of this equity section are related to this total. If we look at the paid-up capital in 2009, then in 2009, the total equity of paid-up capital in 2009 was 7.63% of total equity. Similarly, in the same year, the total equity of general reserve was 7.95% of total equity. Whereas, in the same year, the total equity of Irritated Arnings total profit was 13.45% of total equity. We are in such type of analysis, we select a particular value equal to 100 in a column. And then we divide every item in that column with the 100. And this gives a percentage that reflects the portion of individual item in the total.