Common Size Income Statement

AAA

DEFINITION of '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 EXPLAINS 'Common Size Income Statement'

Common Size Income Statement



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

RELATED TERMS
  1. Common Size Balance Sheet

    A balance sheet that displays both the numeric value of all entries, ...
  2. Accounting

    The systematic and comprehensive recording of financial transactions ...
  3. Cost Of Goods Sold - COGS

    The direct costs attributable to the production of the goods ...
  4. Generally Accepted Accounting Principles ...

    The common set of accounting principles, standards and procedures ...
  5. Income Statement

    A financial statement that measures a company's financial performance ...
  6. Profit

    A financial benefit that is realized when the amount of revenue ...
Related Articles
  1. Understanding The Income Statement
    Forex Education

    Understanding The Income Statement

  2. Introduction To Fundamental Analysis
    Markets

    Introduction To Fundamental Analysis

  3. Advanced Financial Statement Analysis
    Options & Futures

    Advanced Financial Statement Analysis

  4. What are the differences between a change ...
    Fundamental Analysis

    What are the differences between a change ...

comments powered by Disqus
Hot Definitions
  1. Halloween Massacre

    Canada's decision to tax all income trusts domiciled in Canada. In October 2006, Canada's minister of finance, Jim Flaherty, ...
  2. Zombies

    Companies that continue to operate even though they are insolvent or near bankruptcy. Zombies often become casualties to ...
  3. Witching Hour

    The last hour of stock trading between 3pm (when the bond market closes) and 4pm EST. Witching hour is typically controlled ...
  4. October Effect

    The theory that stocks tend to decline during the month of October. The October effect is considered mainly to be a psychological ...
  5. Repurchase Agreement - Repo

    A form of short-term borrowing for dealers in government securities.
  6. Correlation

    In the world of finance, a statistical measure of how two securities move in relation to each other. Correlations are used ...
Trading Center