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What is 'common size Balance Sheet'?

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Question added by VENKITARAMAN KRISHNA MOORTHY VRINDAVAN , Project Execution Manager & Accounts Manager , ALI INTERNATIONAL TRADING EST.
Date Posted: 2014/11/15
Ayyub khan Ibrahim Khan Deshmukh
by Ayyub khan Ibrahim Khan Deshmukh , Finance Manager , Ahmad Al-Sarraf General Trading & Contracting Est.

A common size balance sheet presents not only the standard information contained in a balance sheet, but also a column that notes the same information as a percentage of the total assets or as a percentage of total liabilities and shareholders' equity.

Malik Khalid Mahmood
by Malik Khalid Mahmood , Regional Finance Manager , Leosons International FZ LLC

The balance sheet which is not required by IAS or GAAP but is prepared for financial analysis, mostly used by financial planners or strategic management for decision making, the addition is by adding the percentage to years like Cash is5% of Current Assets, means the calculation of percentages.

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