Question

Which of the following statements are true?

• A. Common-size balance sheet shows relative value of the various items.
• B. In the common size income statement, each product is represented as a percentage of the net sales figure.
• C. Both : Common-size balance sheet shows relative value of the various items. In the common size income statement, each product is represented as a percentage of the net sales figure.
• D. None of these

Answer 1

The correct option is C

Both :

Common-size balance sheet shows relative value of the various items.

In the common size income statement, each product is represented as a percentage of the net sales figure.

The following statements are correct :

Common-size balance sheet shows relative value of the various items.

In the common size income statement, each product is represented as a percentage of the Revenue from Operations.