40. In a common size income statement, each item on the income statement is expressed as a percentage of:A. Net income.B. Gross margin (gross profit).C. Total expenses.D. Sales revenue.41. In a common size balance sheet, each item on the balance sheet is expressed as a percentage of:A. Total assets.B. Total liabilities.C. Net income.D. Total stockholders? equity.42. Which of the following is generally the most useful in analyzing companies of different size?A. Comparative financial statements.B. Horizontal analysis.C. Common size financial statements.D. Trend analysis.The following information is taken from the financial statements of a company for the current yearCurrent assets $395.000Total assets 890,000Cost of goods sold 650,000 Gross margin (gross profit) 200.000Net income 120.00043. On a common size income statement for this year. what is the percentage that would be shown for cost egoods sold?A. 76%B, 24%C. 31%D. 18%