Common-size financial statements present all balance sheet account values as a percentage of:
A)the forecasted budget.
B)sales.
C)total equity.
D)total assets.
E)last year's account value.

Question

Quizplus · Accepted Answer

Common-size financial statements express each balance sheet account as a percentage of total assets, allowing for easy comparison across companies or time periods.

Common-Size Financial Statements Present All Balance Sheet Account Values as a Percentage