Common size analysis is of immense use for comparing enterprises which differ substantially in size as it provides an insight into the structure of financial statements. Common Size Statements are also known as __________.
Common size analysis is of immense use for comparing enterprises which differ substantially in size as it provides an insight into the structure of financial statements. Common Size Statements are also known as __________.
Solution
✅ Correct Option: 3
In a common size statement each item is expressed as a percentage of a common base, such as revenue from operations or total assets. Because every figure appears as a component percentage of that base, these statements are also called component percentage statements or 100 per cent statements.
Related questions:
2026: 31 May Shift 1
2022: 8 Aug Shift 2
2022: 30 Aug Shift 2
2025: 15 May Shift 2
2025: 15 May Shift 2
2025: 14 May Shift 2