In a common size balance sheet to be used in vertical analysis, the 100% amount is
A)current assets.
B)working capital.
C)total assets.
D)total stockholders' equity.

Name: In a common size balance sheet to be used in vertical analysis, the 100% amount is A)current assets. B)working capital. C)total assets. D)total stockholders' equity.
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Question

Quizplus · Accepted Answer

In a vertical analysis, each item in the balance sheet is expressed as a percentage of total assets. Therefore, the 100% amount refers to total assets.

In a Common Size Balance Sheet to Be Used in Vertical