Accountancy- Common Size Statements

Present Changes in Various items of incomes and expenses Judge the cost items Establish relationship between revenue from operations and other items of statement of profit & loss Judge the relative financial soundness for different enterprises

1 10 100 1000

1 10 100 1000

To make comparative study of the financial statements for a number of years To indicate the direction of movement To help in forecasts of various items All of the Above

1, 1.2, 1.5,2 10, 12, 15,20 100, 120, 150, 200 None of the Above