A statement that expresses the income statement items as a percent of total sales is called:
A)a percentage of sales income statement
B)a cross-sectional income statement
C)a common size income statement
D)a ratio based income statement
E)none of the above

Question

Quizplus · Accepted Answer

A common size income statement expresses each income statement item as a percentage of total sales, allowing for easier comparison across different time periods or companies of different sizes. The other options (A, B, D, and E) either do not exist or do not accurately describe this type of income statement.

A Statement That Expresses the Income Statement Items as a Percent