Question: The 12 th tab in your Financial Statement Analysis Template must be labeled Common Sized Balance Sheets. Set-up like the Historical Balance Sheets (Tab 3),

  • The 12th tab in your Financial Statement Analysis Template must be labeled Common Sized Balance Sheets.
    • Set-up like the Historical Balance Sheets (Tab 3), this worksheet should use formulas to calculate the common sized percentages, linking to the Historical Balance Sheets for the calculations. Total Assets should be used as the base for all common sized calculations on the Balance Sheets. Common sized percentages should be calculated for all three historical years presented.
    • See Exhibit A for a partial example of this tab.
  • The 13th tab in your Financial Statement Analysis Template must be labeled Common Sized Income Statements.
    • Set-up like the Historical Income Statements (Tab 2), this worksheet should use formulas to calculate the common sized percentages, linking to the Historical Income Statements for the calculations. Revenue or Total Revenue (depending on your company) should be used as the base for all common sized calculations on the Income Statements. Common sized percentages should be calculated for all three historical years presented.
  • The 14th tab in your Financial Statement Analysis Template must be labeled Horizontal Analysis of Balance Sheets.
    • Start by copying and pasting the Historical Balance Sheets from Tab 3 to this worksheet. Then, add dollar and percentage change columns between each of the set of historical years.

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