The percentage change in any individual item shown on comparative financial statements is calculated by dividing the dollar amount of the change from the base period to the current period by:
A)the amount shown for the current period.
B)the base-period amount.
C)the average of the amounts shown for the base and the current periods.
D)the amount estimated for the future period.

Question

Quizplus · Accepted Answer

The percentage change in any individual item shown on comparative financial statements is calculated by dividing the dollar amount of the change from the base period to the current period by the base-period amount. This provides the percentage increase or decrease in the specific item from the base period to the current period.

The Percentage Change in Any Individual Item Shown on Comparative