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common size income statement

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Financial Dictionary

Common Size Income Statement

An income statement in which each account is expressed as a percentage of the value of sales. This type of financial statement can be used to allow for easy analysis between companies or between time periods of a company.


Investopedia Commentary



Common size income statement analysis allows an analyst to determine how the various components of the income statement affect a company's profit.

Related Links

Understanding The Income Statement
Introduction to Fundamental Analysis
Advanced Financial Statement Analysis

See also: Accounting, Common Size Balance Sheet, Common Size Financial Statement, Cost of Goods Sold - COGS, Generally Accepted Accounting Principles - GAAP, Income Statement, Profit

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