The objective of this article is to study the effect of various components of earthquake on sloshing response of liquid storage tanks. First, commonly used theory for unidirectional analysis of liquid behavior in cylindrical tanks was reviewed. Second, the Finite Element Modeling (FEM) strategy which was used to simulate dynamic response of the liquid tank system was described. The FEM was validated using a set of experimental measurements reported by previous researchers. Third, a parametric study for some vertical, cylindrical tanks with different aspect ratios excited by various time series of earthquake accelerations was performed. Each tank was subjected to unidirectional and bidirectional excitations of earthquake accelerations. Fourth, provision suggested by some seismic codes for the estimation of Maximum Sloshing Wave Height (MSWH) were reviewed and the accuracy of the codes prediction was numerically investigated. Finally, the available simplified formulation for evaluating MSWH under unidirectional excitation was extended for bidirectional excitation.