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To comprehend the cumulative rise and drop in quantities, These are expressed as percentages to any popular base. When you find yourself writing the money statements, you believe the income figures being 100%. One other figures are then expressed as its proportion. Inside a harmony sheet Similarly, complete assets are taken as 100% and also other figures calculated as its share. A statement like this is named a Common Size Assertion and Investigation herein is termed as Common Sizing Monetary Assertion Analysis (Vertical Assessment).

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