Comparative financial statements in which each amount is expressed as a percentage of a base amount, and in which the base amount is expressed as 100%, are called:
A) Common-size comparative statements.
B) Comparative statements.
C) Index statements.
D) Base line statements.
E) General-purpose financial statements.

Question

Quizplus · Accepted Answer

Common-size comparative statements express each amount as a percentage of a base amount, with the base amount set at 100%.

Comparative Financial Statements in Which Each Amount Is Expressed as a Percentage