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    avajames's Avatar
    avajames Posts: 1, Reputation: 1
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    #1

    Feb 9, 2008, 10:21 AM
    Percent change
    I did the calculations for common-size comparison for years 2000 to 2001. To do the % change, do I use the actual numbers from the balance sheet or the percents from the common-size comparisons?

    THX!:confused:
    morgaine300's Avatar
    morgaine300 Posts: 6,561, Reputation: 276
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    #2

    Feb 9, 2008, 09:36 PM
    Hi. You want the actual numbers from the balance sheet. Just for example, if current assets were 20% in 2000 and then went up by 3%, if all assets went up by 3%, the current assets will still be 20% of the total. So you'd be comparing 20% to 20%, looking like there was no change. There's no change in percentage, but there is change in the actual dollar amount. So you need those actual dollar values. Divide the change by the original amount.

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