Firms common size income statement

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Reference no: EM13812397

If a firm’s common size income statement shows that the earnings after tax percentage is too low, the firm may have spent too much money:

a. on cost of goods sold as a percentage of sales.

b. on taxes paid as a percentage of stockholders’ equity.

c. on total assets as a percentage of long-term liabilities.

d. on expenses as a percentage of current assets.

Reference no: EM13812397

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