On a common-base year financial statement, accounts receivables for the current year will be expressed relative to which one of the following?
A) Current year sales
B) Current year total assets
C) Base-year sales
D) Base-year total assets
E) Base-year accounts receivables

Question

Quizplus · Accepted Answer

In a common-base year financial statement, all items are expressed relative to a specific base year to facilitate comparison over time. Therefore, accounts receivables for the current year will be expressed relative to the base-year accounts receivables to show growth or decline.

On a Common-Base Year Financial Statement, Accounts Receivables for the Current