In a Common Size Financial Statement, Which of the Following

question 27

Multiple Choice

In a common size financial statement, which of the following is given a percentage of 100 percent?

• A) Total liabilities
• B) Net income
• C) Total assets
• D) Cost of goods sold

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Definitions:

Cash Disbursements

The outflow of cash to pay expenses, purchase assets, or repay debts.

Floor Plan

In finance, it refers to a type of short-term loan used by retailers to purchase high-cost inventory such as automobiles. In architecture, it's the scale diagram of the arrangement of rooms in a building.

Secured Inventory Loan

A loan that is backed by the borrower's inventory as collateral to reduce the lender's risk.