Common-Sized Income Statements for Your Corporation

Common-sized (i.e., information presented as percentages instead of monetary amounts) Income Statements for the 3 most recent years in the most recent annual report for Apple Inc.

How can common-sized Income Statements assist in the interpretation of current performance and costs management techniques?

Most annual reports include common-sized Income Statements. If your corporation does not, then you create the common-sized Income Statements by dividing each component of the Income Statement by the total Sales or Revenue monetary amount. You can do this in Excel, but be certain that you format it so that when you copy and paste the information into a Word document that it fits. Discuss the trends that you see. Cite the exact pages that you use from the annual report. Include the annual report as a reference item.