Common-size balance sheets represent all figures on the balance sheet [blank].
A)as a percentage change from the previous year
B)as percentages of the current year's sales
C)as a percentage of peer group sales
D)as a percentage of total assets

Question

Quizplus · Accepted Answer

Common-size balance sheets represent all figures as a percentage of total assets. This allows for easier comparison of the relative importance of each item on the balance sheet, regardless of the size of the company.

Common-Size Balance Sheets Represent All Figures on the Balance Sheet