How Do You Make A Common-Size Balance Sheet?
A common-size balance sheet is a financial statement which utilizes percentages instead of total dollars. This makes comparison between companies of different size possible. This article demonstrates through example how to prepare a common-size balance sheet. The balance sheet of Microsoft will be utilized to demonstrate the technique. Step 1 jQuery(document).ready(function(){ jQuery(‘#jsArticleStep1 span.image a:first’).attr(‘href’,’http://i.ehow.com/images/GlobalPhoto/Articles/5862373/microsoftbalancesheet_Full.jpg’); }); Microsoft balance sheet Locate the relevant information. The company’s balance sheet is needed. Company financial statements are available to the public at the U.S. Securities and Exchange website, as well as at many other sites such as Yahoo Finance. A link to the SEC website is provided below this article. Use the search function on the SEC site to locate the company’s 10-K. The balance sheet information will be available in the 10-K. Look in the 10-K index to fin