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Common-size financial statements: Is also known as horizontal analysis. Do not emphasize the relative importance of each item. Show financial amounts in side-by-side columns on

Common-size financial statements:

Is also known as horizontal analysis.

Do not emphasize the relative importance of each item.

Show financial amounts in side-by-side columns on a single statement.

Show changes in the relative importance of each financial statement item.

Show the dollar amount of change for financial statement items over time.

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