_________________statements are those financial statements in which each item is stated as a percentage of a specific base item in the same statement.
A) base rate
B) comparative
C) general purpose
D) common size

Question

Quizplus · Accepted Answer

Common size financial statements express each item as a percentage of a base item, typically sales or revenue. This makes it easier to compare financial statements between companies or over time, as it removes the absolute dollar amounts and focuses on the proportion of each item relative to a specific base.

_________________Statements Are Those Financial Statements in Which Each Item Is