Objective: Collect Balance Sheet and Income Statement data for your 5-Year Financials and calculate common size income percentages to compare the financial performance of your firm for the respective period of analysis.There should be 5 years of analysis, unless there is no data in SEC-Form 10’s for all those years.What is the 5Y financials?Every firm in the list of possible cases for the capstone has a five-year period of analysis. Financial data comes from the Form 10 documents each firm submits to the U.S. Securities Exchange Commision. Form 10 includes Balance Sheets and Income Statements we collect for the Five-year Financials.For most firms, there are five years of financial information. However, it may be there are only 4 or 3 years available. Just collect all what you can get in Excel.Excel workbooks with the 5-Y financials for some firms are already available for you to customize in Course Resources/5Y Financials.What is the Common Size Percentages?Common size percentages are metrics to compare firm performance over the five years of analysis. All items in the income statement are presented as percentages of Sales or Revenue. For instance, when total costs are expressed as a percentage of sales, and it goes up from 43% to 49%, we could conclude costs have increased over time and we should research why costs went up. Is this because of internal or external factors?What do you have to do?If there is no 5-Year financials Excel in Course Resources, you must create one using Form 10 for your period of analysis. Collect Balance Sheet and Income Statement annual data. Depending on your Excel skills, you should request help from your instructor to create formulas and the sheets for common size percentages, financial ratios, and Pro-Forma.Use the TemplateSA-EXH 5-CommonSize.xlsx to guide your work. This template shows the income statement for five years, and the common size percentages calculated to the right. Review how formulas are created for the 1993 common size percentage column, G8 to G27. These formulas were copied to the other years to the right. Because, when you use formulas in Excel, you just type one time, and then you copy it to generate the entire table! You must do the same in your 5Y-financials, sheet Income Statement.